USD/CNH: Likely to trade in a range between 7.1800 and 7.1950 – UOB Group
US Dollar (USD) is likely to trade in a range between 7.1800 and 7.1950. In the longer run, USD is expected to trade in a range of 7.1730/7.2000, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
USD is expected to trade in a range
24-HOUR VIEW: "We expected USD to 'trade in a range between 7.1780 and 7.1950' yesterday. USD subsequently traded in a tight range of 7.1824/7.1917 before closing largely unchanged (7.1877, +0.01%). The price action provides no fresh clues, and we continue to expect range trading today, probably between 7.1800 and 7.1950."
1-3 WEEKS VIEW: "Last Thursday (14 Aug, spot at 7.1800), we indicated that 'downward momentum is building, but for a continued decline, USD must first close below 7.1700.' Yesterday (19 Aug, spot at 7.1850), we highlighted that 'the buildup in downward momentum has largely faded.' We expected USD to 'trade in a range of 7.1730/7.2000.' There is no change in our view."
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