The present worth actions are doubtless a part of a spread buying and selling between 7.1530 and seven.1730. Within the longer run, downward momentum has elevated additional; if USD breaks under 7.1450, the following degree to observe is 7.1300, UOB Group’s FX analysts Quek Ser Leang and Peter Chia observe.
Downward momentum has elevated additional
24-HOUR VIEW: “Yesterday, we famous that ‘there’s potential for USD to drop under 7.1500.’ Nonetheless, we said that ‘it’s unclear for now whether or not there’s ample momentum for USD to succeed in 7.1450.’ USD subsequently dropped briefly to a low of seven.1500 earlier than rebounding. USD closed largely unchanged at 7.1611 (+0.04%). The present worth actions are doubtless a part of a spread buying and selling part, most likely between 7.1530 and seven.1730.”
1-3 WEEKS VIEW: “We turned destructive on USD one week in the past (25 Jun, spot at 7.1680). We highlighted that ‘there was a tentative buildup in momentum, and USD is prone to edge decrease to 7.1450.’ Yesterday (01 Jul, spot at 7.1570), we indicated that ‘downward momentum has elevated additional, and if USD breaks under 7.1450, the following degree to observe is at 7.1300.’ USD subsequently dropped briefly to 7.1500. We’ll keep our view so long as the ‘robust resistance’ at 7.1790 (no change in degree) will not be breached.”
