Present value actions are doubtless a part of a 0.6000/0.6045 vary buying and selling section. Within the longer run, upward momentum stays largely unchanged, however there’s a probability for NZD to check 0.6095, UOB Group’s FX analysts Quek Ser Leang and Peter Chia observe.
Probability for NZD to check 0.6095
24-HOUR VIEW: “After NZD rose and exceeded our expectations final Thursday, we indicated on Friday that ‘the chance stays on the upside at this time, however with no clear improve in upward momentum, NZD could not be capable to break above 0.6080.’ Nonetheless, there was no follow-through on the upside, as NZD traded in a 0.6008/0.6050 vary. Momentum indicators are turning flat, and the present value actions are doubtless a part of a 0.6000/0.6045 vary buying and selling section.”
1-3 WEEKS VIEW: “We revised our NZD view to constructive final Tuesday (03 Jun, spot at 0.6040), indicating that ‘speedy buildup in upward momentum signifies additional NZD energy, and the extent to observe is 0.6095.’ After NZD rose to 0.6088, we highlighted final Friday (06 Jun, spot at 0.6045) that upward momentum stays largely unchanged, however so long as 0.5985 (‘sturdy help’ stage) isn’t breached, there’s a probability for NZD to check 0.6095.’ We proceed to carry the identical view.”
