There’s a probability for USD to drop beneath 7.1750; the foremost assist at 7.1600 isn’t anticipated to come back below risk. Within the longer run, US Greenback (USD) seems to have moved right into a 7.1600/7.2240 vary buying and selling section in opposition to Chinese language Yuan (CNH), UOB Group’s FX analysts Quek Ser Leang and Peter Chia word.
USD/CNH seems to have moved right into a 7.1600/7.2240 vary
24-HOUR VIEW: “Following final Friday’s worth actions, we indicated yesterday that ‘there was a buildup in downward momentum, albeit not by a lot.’ We anticipated USD to ‘edge decrease,’ however we held the view that ‘any decline may not be capable to attain 7.1750.’ We weren’t fallacious, as USD edged to a low of seven.1766 earlier than recovering to shut barely decrease at 7.1844 (-0.09%). The underlying tone stays tender, and right this moment, there’s a probability for USD to drop beneath 7.1750. The foremost assist at 7.1600 isn’t anticipated to come back below risk. Resistance is at 7.1880, adopted by 7.1930.”
1-3 WEEKS VIEW: “There may be not a lot so as to add to our replace from yesterday (04 Aug, spot at 7.1900). As highlighted, USD ‘seems to have moved right into a 7.1600/7.2240 vary buying and selling section’.”
