According to UOB Group FX analysts Quek Ser Leang and Peter Chia, the New Zealand Dollar (NZD) may test 0.5800 before the risk of a rebound strengthens. In the longer term, the recent sharp decline appears excessive, and for a sustained drop, NZD must break and hold below 0.5800.
24-Hour view
NZD recently hit a low of 0.5816, with minor support around 0.5810. Although conditions are oversold, a test of 0.5800 is possible, but a prolonged move below this level is unlikely.
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Resistance levels: 0.5835 and 0.5855
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Support level: 0.5800 (key barrier before further decline risk increases)
1–3 weeks view
Downward momentum has been building, with the risk of NZD breaking 0.5880 previously noted. NZD’s recent low at 0.5816 confirms this trend.
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Strong resistance: revised to 0.5870
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Next key support below 0.5800: 0.5765
UOB maintains that NZD’s further decline depends on holding below 0.5800, while a recovery above 0.5870 would shift the bias.
