GBP

The British Pound (GBP) reached a key level overnight against the New Zealand Dollar (NZD) of 0.4565 (2.1900) before giving back gains to 0.4600 (2.1735) early today. 0.4565 (2.1900) being the lowest level since Brexit voting mid-2016. We have no significant tier 1 data on the calendar over the next few days only UK GDP m/m to release Friday which shouldn’t move the cross significantly. A retest of 0.4635 (2.1570) is our pick with further recovery by the kiwi expected.

Current Level: 0.4589
Resistance: 0.4640
Support: 0.4565
Last Weeks Range: 0.4573- 0.4657

The New Zealand Dollar (NZD) reached a fresh 10 week high against the Australian Dollar (AUD) Monday clocking 0.9150 (1.0930) before giving back gains to 0.9110 (1.0980) this morning. What’s interesting is the cross is back in the same comfort zone it’s been since early October. Today’s RBA cash rate release holds focus with no change expected from 4.35%. We doubt we will see much excitement around the release with punters looking for clues in the statement for renewed optimism the central bank will be cutting early next year, 25 points is priced into the curve, but the timing will be key.

Current Level: 1.0992
Resistance: 1.1090
Support: 1.0930
Last Weeks Range: 1.0989 – 1.1168

The New Zealand Dollar (NZD) reached a fresh 10 week high against the Australian Dollar (AUD) Monday clocking 0.9150 (1.0930) before giving back gains to 0.9110 (1.0980) this morning. What’s interesting is the cross is back in the same comfort zone it’s been since early October. Today’s RBA cash rate release holds focus with no change expected from 4.35%. We doubt we will see much excitement around the release with punters looking for clues in the statement for renewed optimism the central bank will be cutting early next year, 25 points is priced into the curve, but the timing will be key.

Current Level: 0.9088
Resistance: 0.9150
Support: 0.9020
Last Weeks Range: 0.9066 – 0.9140

The New Zealand Dollar (NZD) slipped lower off the weekly open recording 0.5800 against the US Dollar (USD) just avoiding the October 2023 low. The greenback then started posting losses as the kiwi recovered into Tuesday all the way back to 0.5880. Markets now await US CPI data out today which is predicted to show headline inflation rising to 2.7% from 2.6%. Earlier US Non-Farm Payroll increased 227,000 in November more than the 214,000 we were expecting improving the big dollar. Support on the chart at 0.5870 has turned to resistance, the kiwi may struggle to climb above this area.

Current Level: 0.5850
Support: 0.5760
Resistance: 0.6000
Last week’s range: 0.5820 – 0.5915

The New Zealand Dollar (NZD) has extended its run higher to 0.9125 (1.0960) against the Australian Dollar (AUD) the weakest performing currency on the main board this week. Aussie Retail Sales came in favourable Monday lifting the AUD, but it has been all downhill since. The cross is touching a 9-week high this morning. Next week’s Australian unemployment and RBA cash rate announcement is our focus with no change predicted from 4.35%.

The current interbank midrate is: NZDAUD 0.9115 AUDNZD 1.0958

The interbank range this week has been: NZDAUD 0.9066- 0.9130 AUDNZD 1.0952- 1.1029

The British Pound (GBP) broke past channel resistance at 2.1560 (0.4640) against the New Zealand Dollar (NZD) midweek before going on to post a 4-week high of 2.1750 (0.4600) earlier this morning. The Pound may struggle in the run up to resistance at 2.1840 (0.4580) over the following few days. With no tier 1 data on the schedule through to next Friday’s UK GDP we see further strength in the GBP developing.

The current interbank midrate is: NZDGBP 0.4610 GBPNZD 2.1691

The interbank range this week has been: NZDGBP 0.4599- 0.4657 GBPNZD 2.1472- 2.1742

The New Zealand Dollar (NZD) has perked up since Wednesday’s slump to 0.5830 retracing moves into Friday to 0.5885 against the US Dollar (USD) as the greenback is sold. The Dollar getting a double hit of bad news with poor jobs data increasing by 224k last week and further rhetoric around Trump tariff implications. The USD may continue to come under selling pressure ahead of the Non-Farm Payroll release in the morning. The kiwi may target the weekly open at 0.5915 in the coming hours.

The current interbank midrate is: NZDUSD 0.5882

The interbank range this week has been: NZDUSD 0.5828- 0.5915

After decent moves in the Euro (EUR), Australian Dollar (AUD) cross in recent weeks the cross looks to have taken a breather around the 0.6170 (1.6210) area. A “head and shoulders” pattern is emerging on the chart suggesting a move back towards 0.6045 (1.6540), but first the pair will need to clear the 0.6130 (1.6320) area. However, any further strength in the EUR may need to come from French political stability as the French government looms close to collapse.

Current Level: 1.6202
Resistance: 1.6540
Support: 1.6000
Last Weeks Range: 1.6003- 1.6306

After decent moves in the Euro (EUR), Australian Dollar (AUD) cross in recent weeks the cross looks to have taken a breather around the 0.6170 (1.6210) area. A “head and shoulders” pattern is emerging on the chart suggesting a move back towards 0.6045 (1.6540), but first the pair will need to clear the 0.6130 (1.6320) area. However, any further strength in the EUR may need to come from French political stability as the French government looms close to collapse.

Current Level: 0.6172
Resistance: 0.6250
Support: 0.6045
Last Weeks Range: 0.6132- 0.6248

The British Pound (GBP) extended its run against the Australian Dollar (AUD) off the weekly open reaching 0.5100 (1.9600) Monday before coming under pressure into Tuesday. UK Manufacturing came in below forecast, the Purchasing Managers Index PMI at 48.0 in November down from 48.6 in October taking the cross back to 0.5130 (1.9500).  Calendar focus this week comes in the form of Australian GDP q/q with a big read expected around 0.5% in the September quarter. Growth has been declining since the 4Q of 2022 so this will be welcomed news. We could see a rebound towards 0.5150 (1.9430)

Current Level: 1.9546
Resistance: 1.9700
Support: 1.9340
Last Weeks Range: 1.9227- 1.9542