After the massive “about turn” from last week’s 1.9700 level the English Pound (GBP), New Zealand Dollar (NZD) has settled around 0.5000 (2.000) Monday. The recent strength in the GBP looks to have put it into over territory with the UK facing a recession. The economic downturn predicted in the second half of 2023 could weigh on sentiment and put large downward pressures on the Pound. The New Zealand “wellbeing” Budget is released Thursday at 2.00pm. We shouldn’t get the massive currency moves of old happening around the publication, but we may still see a little volatility. We expect the kiwi to push back this week.
Current Level: 0.4991 (2.0036)
Resistance: 0.5050 (2.0140)
Support: 0.4965 (1.9800)
Last Weeks Range: 0.4962-0.5053 (1.9788-2.0153)