© Dukascopy Bank SA
- Westpac Banking Corp. based on the BusinessDesk)
Pair's Outlook
NZD/USD trades very near this year's low at 0.7708 that was set at the end of September. And with the short-term technicals being to the downside we might see the pair approaching new lows this year. Although, even if the level will be touched or breached we are sceptical on the Kiwi falling considerably lower. To our mind, at the moment the 0.77 level could be the bottom for the pair, since it is not only this year's low, but also the last year's low is at 0.7681.
Traders' Sentiment
There is no strong conviction in the market that the Kiwi is overvalued or undervalued, being that the amount of bullish and bearish traders are identical. The distribution between the buy and sell orders is much more significant—25% and 75% respectively.
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