NZD/USD: To be bullish or to be bearish, that is the question – ANZ

NZD/USD has taken a breather, and remains a slave to equities and risk appetite in general. The kiwi trades at 0.6105, after shrugging off Retail Sales data, and the 0.6170 resistance should cap the pair, according to analysts at ANZ Bank.

Key quotes

“There are as many reasons to be bullish (we have beaten COVID-19, commodity prices are holding up, risk appetite has bounded back quickly) as there are to be bearish (tourism was a big piece of the economy and it’s now gone, our yields are lower than the US and Australia’s, negative rates may be coming, risk sentiment could sour at any time), which makes the outlook tricky.” 

“Support 0.5850 Resistance 0.6170”