Forex Flash: New Zealand strategy profile – Westpac

TD Securities analysts see quite choppy short-term trade patterns but with a powerful sharp extension higher in spot in the overnight market, pushing through minor trend resistance in the upper 1.01 area. “But, so far, resistance around 1.0235 has held. We look for support now on dips to the 1.0180 area intraday. A push through 1.0235 is bullish from a short-term point of view (and beyond in all likelihood)”, wrote analysts Shaun Osborne and Greg Moore, suggesting that the correction lower from above 1.03 may be running out of steam and that we rather thought USD/CAD was near more attractive buying levels (sub-1.01). “While intraday gains in USD/CAD have stalled in the low 1.02 area (reflecting the above noted 1.0235 resistance zone, the 40-day MA at 1.0211 and the redrawn the channel off the early March highs at 1.0207), we still think the set up here is potentially very bullish”, they added