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NZD/USD correction overdue – Westpac

FXStreet (Edinburgh) - Analysts at Westpac Global Strategy Group see the likelihood of a corrective bounce towards the 0.8520/30 region.

Key Quotes

“The decline in NZD/USD from mid-July has been only briefly punctuated by shallow corrective bounces”.

“So we were well overdue a corrective bounce. This could extend towards the 0.8520/30 level but beyond that shorts become attractive again given little movement expected in NZ interest rates while the RBNZ is on hold this year and still falling dairy prices”.
year and still falling dairy prices”.

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