NZD/USD: Further range bound likely near term – UOB

NZD/USD is predicted to navigate the 0.6240-0.6360 range in the next weeks, suggested FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang.

Key Quotes

24-hour view: “We highlighted yesterday ‘the price actions still appear to be part of a consolidation’ and we expected NZD to ‘trade between 0.6270 and 0.6330’. Our view for consolidation was not wrong even though NZD traded within a narrower range than expected (0.6283/0.6326). NZD could continue to consolidate for now, likely between 0.6270 and 0.6325.”

Next 1-3 weeks: “Our update from yesterday (27 Jun, spot at 0.6310) still stands. As highlighted, it appears that NZD is still in a consolidation phase and it is likely to trade between 0.6240 and 0.6360 for now.”