Credit Suisse likes buying AUD/NZD on further dips into the 1.0590-1.0650 area.
"RBNZ running out of dovish tricks in the near-term. The RBNZ delivered a small dovish surprise in its Sep rate decision by suggesting that it is willing to deploy a Funding for Lending program before year-end. Rate cuts and negative rates are well priced-in for next year, but in the short-term the potential for dovish policy surprises with likely FX impact is more limited," CS notes.
"The AUDNZD correction may extend to the 1.0590-1.0650 area - at which point longs will be excellent value," CS adds.