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USD/CNH: TRADES IN A WIDE RANGE OF 7.2600/7.3100– UOB GROUP

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The US Dollar (USD) is still trading in a 7.2600/7.3100 range, UOB Group FX analysts Quek Ser Leang and Lee Sue Ann notes.

Wobbles in the 7.2600/7.3100 range continue

24-HOUR VIEW: “We noted yesterday that ‘there has been a slight increase in momentum.’ We expected USD to edge higher, but we highlighted that ‘as upward momentum is not strong, any advance is unlikely to reach 7.2980.’ Our view was not wrong, even though the advance in USD almost reached 7.2980 (high has been 7.2973). Upward momentum has increased further, albeit not much. We continue to expect USD to edge higher, but today, the advance is unlikely to reach 7.3100 (there is another resistance level at 7.3035). Support is at 7.2900, followed by 7.2820.”


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