Near-term downside risks remain, due to dovish shift by Reserve Bank of New Zealand (RBNZ) and emerging second COVID wave in New Zealand. NZD/USD is extending the previous day’s sharp retracement slide from near two-week tops, trading around the 0.6530 mark, and a break below 0.6520 will cheer bears up, per Westpac. Key quotes “NZD/USD continues to look toppish but requires a break below 0.6520 to get excited about the bearish case. Such a break would signal 0.6300.” “Recent events have been negative for the NZD: the Auckland region lockdown, and the dovish shift by the RBNZ last week. On that shift, the RBNZ expanded its QE program, and signalled a lower OCR/low-cost bank loan package could be ready by November for potential deployment. NZ interest rates have fallen, and will probably continue to do so since markets have so far priced a 30bp fall – well short of the 75bp cut Westpac is forecasting.” “NZD/USD falls may be limited since we remain bearish on the USD. Greater underperformance will be seen vs the AUD.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next EUR/USD: High at 1.20 a normal range for the year – Deutsche Bank FX Street 2 years Near-term downside risks remain, due to dovish shift by Reserve Bank of New Zealand (RBNZ) and emerging second COVID wave in New Zealand. NZD/USD is extending the previous day’s sharp retracement slide from near two-week tops, trading around the 0.6530 mark, and a break below 0.6520 will cheer bears up, per Westpac. Key quotes “NZD/USD continues to look toppish but requires a break below 0.6520 to get excited about the bearish case. Such a break would signal 0.6300.” “Recent events have been negative for the NZD: the Auckland region lockdown, and the dovish shift by the RBNZ last week. On… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
