Title: New Zealand Dollar (NZD) Outlook: Recovery Phase Indicates Potential Upside to 0.5990
As the world’s best investment manager and financial market journalist, I am here to bring you the latest insights on the New Zealand Dollar (NZD) and its potential trading range. According to UOB Group FX analysts Quek Ser Leang and Lee Sue Ann, the NZD is likely to trade in a sideways range of 0.5915/0.5955, with a possibility of extending the current recovery phase to 0.5990.
In the short term, the closest resistance level for the NZD is at 0.5955. The 24-hour view suggests that while there was an expectation of further NZD strength, the upside risk has faded for now due to overbought conditions and slowing momentum. Therefore, the NZD is likely to trade sideways in a range of 0.5915/0.5955.
Looking ahead to the next 1-3 weeks, the recent two-week NZD weakness has ended, and the current recovery phase could potentially lead to a rise to 0.5990. It is important to note that only a breach of 0.5890 would indicate that 0.5990 is out of reach.
In summary, the NZD is showing signs of a recovery phase with a potential upside to 0.5990. It is important for traders and investors to monitor the key resistance levels and support levels mentioned in this analysis to make informed decisions about their trades and investments. Remember to always stay updated on the latest market trends and analysis to maximize your financial gains.