The US Greenback (USD) might weaken additional; any decline is unlikely to succeed in the sturdy assist at 7.2000. Within the longer run, momentum is starting to gradual; a breach of seven.2000 would imply that USD shouldn’t be rising additional, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann notice.
Under 7.2000 USD is ready to cease rising additional
24-HOUR VIEW: “We famous yesterday that ‘there was a slight enhance in momentum.’ We had been of the view that USD ‘might decline additional, however any decline is unlikely to succeed in the sturdy assist at 7.2000.’ Our view didn’t end up, as USD traded in a sideways vary of seven.2250/7.2488, closing at 7.2331 (+0.10%). We proceed to detect a tender underlying tone, and we proceed to carry the view that USD might weaken. Nonetheless, the sturdy assist at 7.2000 remains to be doubtless out of attain (there’s one other assist stage at 7.2180). Resistance ranges are at 7.2400 and seven.2490.”
1-3 WEEKS VIEW: “After anticipating the next USD for greater than per week, we indicated on Monday (18 Nov, spot at 7.2350) that ‘momentum is starting to gradual, and if USD breaks beneath 7.2000 (‘sturdy assist’ stage) would imply that USD shouldn’t be rising additional.’ Our view stays unchanged.”
