US Greenback (USD) is prone to commerce sideways between 7.1640 and seven.1840 in opposition to Chinese language Yuan (CNH). Within the longer run, downward momentum has not elevated considerably, however bias for USD is on the draw back towards 7.1500, UOB Group’s FX analysts Quek Ser Leang and Peter Chia word.
Downward momentum has not elevated considerably
24-HOUR VIEW: “Following the sharp drop in USD final Friday, we indicated yesterday, Monday, that ‘the decline seems to be overdone, however there’s a likelihood for USD to check 7.1650 earlier than stabilisation is probably going.’ We added, ‘the key help at 7.1500 is unlikely to come into sight.’ USD then dropped to 7.1626 after which rapidly rebounded to shut largely unchanged (7.1783, +0.09%). Downward strain seems to have eased, and USD is prone to commerce sideways in the present day, most likely between 7.1640 and seven.1840.”
1-3 WEEKS VIEW: “Yesterday (26 Might, spot at 7.1770), we indicated that ‘whereas downward momentum has not elevated considerably, so long as 7.2070 (‘robust resistance’ degree) will not be breached, the bias for USD is on the draw back towards 7.1500.’ Our replace nonetheless stands.”
