NZD/USD a sustained break below 0.6950 is unlikely – UOB

In view of FX Strategists at UOB Group, a breakdown of the mid-0.6900s in a sustainable fashion appears unlikely in the near term.

Key Quotes

“NZD dipped below 0.6950 yesterday and hit a low of 0.6940. However, as expected, the weakness was not sustained as NZD rebounded quickly to a high of 0.6987”.

“From here, a retest of 0.6940 would not be surprising but based on the current patchy momentum; a sustained down-move still seems unlikely. That said, the downward pressure would continue to increase unless NZD can reclaim 0.7020”.