USD/CNH: Current price movements are likely part of range trading – UOB Group
US Dollar (USD) is expected to trade in a 7.2650/7.2900 range. In the longer run, current price movements are likely part of range trading, probably between 7.2400 and 7.2900, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.
USD is expected to trade in a 7.2650/7.2900 range
24-HOUR VIEW: “We expected USD to ‘trade in a 7.2550/7.2800 range’ last Friday. USD traded in a higher range of 7.2558/7.2869 before closing at 7.2846 (+0.29%). There has been a slight increase in momentum, but this is likely to lead to a higher trading range of 7.2650/7.2900 instead of a sustained rise.”
1-3 WEEKS VIEW: “There is not much to add to our update from last Friday (06 Dec, spot at 7.2660). As previously indicated, ‘the current price movements are likely part of range trading, probably between 7.2400 and 7.2900.’ Looking ahead, if USD breaks and stays above 7.3145, it would indicate that the start of a sustained rise.”