NZD/USD: fails to sustain the bid overight, back under 0.73 psychlogcal level

Currently, NZD/USD is trading at 0.7277, down -0.02% on the day, having posted a daily high at 0.7285 and low at 0.7276.

NZD/USD is consolidated in the middle of the recent range between the  0.7220's and 0.7336 highs. Despite a better risk environment overnight, the beta currencies were unable to sustain the bid and, in fact, the Kiwi closed lower on the US session, -0.67% while the greenback surged. 

Market wrap: Trump's team rally up the rally - Westpac

Analysts at Westpac argue that last night’s reversal in NZD puts it on a neutral footing today around 0.7275.

NZD/USD 1-3 month:

"If the RBNZ remains firmly on hold, as we expect, and the US dollar rises on tighter Fed policy, then NZD/USD could fall as far as 0.70 by year end," explained the analysts at Westpac.

NZD/USD levels

NZD/USD: stretched NZD positioning vulnerable to a further unwind - Nomura

To the upside, 0.7280/00 and aforementioned 0.7337 recent highs ahead of 0.7370 (9th Aug high) are the immediate resistance areas. To the downside, 0.7270, 0.7205, the 06 June 22/21 low and 0.7186, the June 15th low, along with the 50% of the move up from the 2017 low (May low) at 0.7187 are key areas of support ahead of 0.7150 June 5 high; 0.7127 June 6 low and 0.7100.