FXStreet (Córdoba) – NZD/USD is rising on Thursday for the second day in a row as it continues to recover from multi-year lows that reached on Tuesday. The pair climbed during the Asian session to 0.6923 reaching the highest levels since Monday but then pulled back.
After trading momentarily below 0.6900, it rose back above and during the last hours it has been steady moving between 0.6920 and 0.6905.
NDZ stabilization ahead?
After being the worst performer in the currency market for several weeks, the kiwi yesterday managed to climb across the board and today remain flat, holding to those gains. The dovish change at the Reserve Bank of New Zealand last month, triggered a sharp decline of NZD in the market and during the last two days the kiwi has given the first signals of stabilization in two weeks.
Analysts from the Westpac Global Strategy Group still maintain a bearish outlook in the long term for NZD/USD. “There’s potential for a corrective bounce during the weeks ahead, given it has fallen by 23% during the past year. However we would view such bounces as opportunities to establish fresh short positions, since the RBNZ easing cycle may run further than the market has priced. We target 0.6550 by September.”
(Market News Provided by FXstreet)