The New Zealand dollar (NZD) is showing strong potential for long-term appreciation against the Canadian dollar (CAD). Fundamentally, New Zealand's economy is benefiting from the RBNZ's cautious tightening stance and strong export performance in dairy and agriculture. Meanwhile, Canada faces reduced rate hike expectations from the BOC due to softer energy and housing sectors. Market sentiment favors higher-yielding commodity currencies like NZD, especially as risk appetite improves. Technically, NZD/CAD is forming higher lows on the monthly chart, signaling a bullish bias, with a potential breakout from its long-term range confirming further upside. Any short-term pullbacks could present buying opportunities for sustained gains.
Sasha Charkhchian
Sasha Charkhchian
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.