Ella 
176
Yesterday we highlighted that “NZD moves appear to be part of a consolidation phase, with trading expected between 0.6075/0.6130.” While our consolidation view is correct, the trading range is tighter than expected (0.6087/0.6115). The continuation of the thin market suggests that the New Zealand dollar may now consolidate and may trade in the range of 0.6080/0.6125.
Next 1-3 weeks: NZD fluctuates slightly, our update remains unchanged since yesterday (0.6105 Aug 7th). As we have highlighted, the probability of further losses in the NZD has decreased. However, only a break of 0.6145 (‘strong resistance’ level unchanged) will mean that the NZD will not fall further.
