NZD/USD: The pair is set to rise above 0.6180 – UOB Group

The New Zealand Dollar (NZD) is expected to consolidate in a range of 0.6115/0.6145. Risk for further NZD strength; the levels to watch are 0.6180 and 0.6200, UOB Group analysts Quek Ser Leang and Lee Sue Ann note.

Levels to watch are 0.6180 and 0.6200

24-HOUR VIEW: “Last Friday, NZD rose to a high of 0.6149. Yesterday, we indicated that “there is room for NZD to rise, even though the next resistance level at 0.6180 is likely out of reach for now.” NZD then popped briefly to 0.6171, pulling back to close at 0.6127 (-0.31%). NZD appears to have moved into a consolidation phase. Today, we expect NZD to trade between 0.6115 and 0.6145.”

1-3 WEEKS VIEW: “Last Thursday (04 Jul, spot at 0.6105), we held the view that the recovery in NZD has potential to extend to 0.6150. After NZD rose, we highlighted yesterday (08 Jul, spot at 0.6145) that “the risk is for further NZD strength, and the levels to watch are 0.6180 and 0.6200.” There is no change in our view. On the downside, should NZD break below 0.6100 (no change in ‘strong support’ level from yesterday), it would mean that it is not strengthening further.”