NZD/USD: saying goodbye to the 0.73 handle? - Westpac

Analysts at Westpac offered their outlook on the NZD/USD.

Key Quotes:

"NZD/USD 1 day:

A stretched NZD looks set to consolidate towards 0.7230 after the foray above 0.7300 faltered, despite retracement attraction at 0.7375.

NZD/USD 1-3 month: 

Near-term potential to reach the 0.7400-0.7500 area during the weeks ahead if the US dollar remains depressed. However, if the RBNZ remains firmly on hold throughout 2018 and the US dollar eventually rises on the expectation of further Fed interest rate hikes in 2018, then NZD/USD should fall to 0.67 over the next quarter. (12 Jan)"