US Greenback (USD) is prone to consolidate in a spread of 144.00/145.00. Within the longer run, improve in momentum just isn’t adequate to point a sustained advance simply but; USD should first break and maintain above 145.50, UOB Group’s FX analysts Quek Ser Leang and Peter Chia observe.
Improve in momentum just isn’t adequate to point a sustained advance
24-HOUR VIEW: “We anticipated USD to ‘consolidate in a 144.00/145.15 vary’ yesterday. USD then rose to 144.94, dropped to 143.96, earlier than rebounding to shut modestly decrease by 0.19% at 144.58. The value motion nonetheless seems to be a part of a consolidation section. At this time, we count on USD to commerce in a spread of 144.00/145.00.”
1-3 WEEKS VIEW: “Final Wednesday (04 Jun, spot at 143.85), we said that ‘the latest value motion suggests USD continues to be buying and selling in a spread, most certainly between 142.10 and 145.50.’ On Friday, USD soared to a excessive of 145.08. Yesterday (09 Jun, spot at 144.70), we indicated that the rise in upward momentum just isn’t adequate to point a sustained advance simply but.’ Nonetheless, we identified that ‘if USD had been to interrupt and maintain above 145.50, it might doubtlessly set off a robust restoration.’ The probability of USD breaking clearly above 145.50 will stay intact so long as the ‘sturdy help’ at 143.30 (degree beforehand at 143.00) just isn’t breached.”
