Extends Bullish Run

AUD/NZD continues to gain altitude, as the Kiwi has landed at the bottom of the G10 table. The NZD remains fragile, owing to the familiar combination of domestic MonPol dynamics & resurgence of Covid-19. Further gains have been prevented by AUD weakness vs. its other G10 peers, perhaps linked to a slip in oil prices and/or the RBA's remark that economic recovery will be slower than expected. The rate trades comfortably above the psychological NZ$1.1000 level breached yesterday, it topped out at NZ$1.1038 and last deals +30 pips at NZ$1.1031.

• Bulls look for a rally above the upper 3.0% Bollinger band at NZ$1.1112, which would turn focus to the 2018 high of NZ$1.1176. Bears need a pullback under the NZ$1.1000 figure, before targeting Jun 2 high of NZ$1.0881.