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NZD/USD remains side-lined for the time being and it is likely to navigate within the 0.6375-0.6485 range, noted FX Strategists at UOB Group.

Key Quotes

24-hour view: “NZD traded sideways between 0.6421 and 0.6455, relatively close to our expected range of 0.6425/0.6460. The price action is still viewed as part of a consolidation phase and NZD is likely to continue to trade sideways. Expected range for today, 0.6420/0.6460.”

Next 1-3 weeks: “After surging to a high of 0.6487, NZD has not been able to make much headway on the upside. We highlighted last Wednesday (12 Feb, spot at 0.6445) that while Tuesday’s low of 0.6378 is deemed as a short-term bottom, any NZD strength is viewed as ‘a correction and is unlikely to break the solid 0.6525 resistance’. The relatively quiet price actions over the past few days suggest that instead of staging a stronger rebound, NZD has likely lapsed into a consolidation phase. To put it another way, NZD is likely to trade sideways between the major level of 0.6375 and 0.6485 for now.”