US Greenback (USD) is more likely to commerce in a variety between 146.70 and 148.20. Within the longer run, additional USD power is probably going, however it may first commerce in a variety for a couple of days; the extent to observe is 149.30, UOB Group’s FX analysts Quek Ser Leang and Peter Chia be aware.
USD/JPY can first commerce in a variety for a couple of days
24-HOUR VIEW: “Following the two.14% surge in USD on Monday, we indicated yesterday, Tuesday, that ‘The outsized rise seems extreme.’ We added, ‘This, mixed with deeply overbought situations, means that as a substitute of constant to rise, USD is extra more likely to commerce in a 146.50/148.60 vary.’ USD then traded between 147.35 and 148.48. The value actions nonetheless look like a part of a variety buying and selling part. Immediately, we count on USD to commerce between 146.70 and 148.20.”
1-3 WEEKS VIEW: “There may be not a lot so as to add to our replace yesterday (13 Might, spot at 147.90). As highlighted, ‘whereas the sharp and fast improve in momentum suggests additional USD power, deeply overbought situations could lead on to some days of vary buying and selling first.’ We additionally highlighted that ‘The extent to observe on the upside is 149.30.’ We are going to proceed to carry the identical view so long as 146.00 (no change in ‘robust assist’ stage) will not be breached.”
