NZD/USD is likely to navigate within the 0.7125-0.7300 range in the next weeks, suggested FX Strategists at UOB Group.
24-hour view: “Yesterday, we highlighted that ‘further sustained NZD strength is unlikely’. We added, NZD ‘is more likely to trade sideways between 0.7205 and 0.7260’. However, NZD traded within a wider range than expected (0.7182/0.7249). The outlook remains mixed and NZD could trade sideways for today, likely within a 0.7190/0.7255 range.”
Next 1-3 weeks: “After rising to 0.7304 last Monday (10 May), NZD plunged to 0.7135 before rebounding strongly on Friday. The choppy price actions have resulted in a mixed outlook and NZD could trade between 0.7125 and 0.7300 for now.”