USD/CNH can decline to the major support at 7.2300 – UOB Group

FXStreetFeb 18, 2025 10:04 AM

View all comments（0）



US Dollar (USD) is likely to trade in a range between 7.2500 and 7.2780 vs the Chinese Yuan (CNH). In the longer run, increase in momentum suggests USD could decline to the major support at 7.2300, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.

Above 7.2960, USD/CNH to stop targeting the downside

24-HOUR VIEW: "Yesterday, when USD was at 7.2600, we highlighted the followings: 'As long as USD remains below 7.2800 (minor resistance is at 7.2710), it could dip below 7.2500 before stabilisation is likely. This time around, the major support at 7.2300 is unlikely to come into view.' Our view was not wrong, as USD fell to 7.2428, rebounded to 7.2677 and then closed largely unchanged at 7.2648 (+0.09%). USD has likely entered a range trading phase. Today, we expect it to trade between 7.2500 and 7.2780."

1-3 WEEKS VIEW: "Our update from yesterday (17 Feb, spot at 7.2600) is still valid. As highlighted, 'the increase in downward momentum suggests USD could decline the major support level at 7.2300.' A breach of 7.2960 (no change in ‘strong resistance’ level) will invalidate our view.”

Disclaimer: The information provided on this website is for educational and informational purposes only and should not be considered financial or investment advice.

Comments (0)

Click the $ button, enter the symbol, and select to link a stock, ETF, or other ticker.

Commenting Guidelines

Recommended Articles

2026 Silver Price Forecast: US-Iran Conflict May End, Can Silver Return Above $100 This Year?

TradingKey - Recently, after testing the $62.00 level again, silver prices (XAGUSD) continued to rebound on expectations of US-Iran peace talks, briefly surging to $70 this week. As of the European session on June 17, silver prices consolidated around $69.60. However, technical analysis shows a double-bottom pattern on the weekly chart, which may support a continued rise in silver prices.

US Stocks Close: Nasdaq Rises 1.91%, Philadelphia Semiconductor Index Rises Over 6% to Record High, SpaceX Rallies Late to Erase Intraday Losses

TradingKey - On June 18, Eastern Time, the U.S. officially lifted its naval blockade on Iran, boosting market investment sentiment. The three major indices all closed higher, with technology stocks leading the gains. At the close, the Dow Jones Industrial Average rose 0.14% to 51,564.70 points; the Nasdaq Composite Index gained 1.91% to 26,517.93 points; and the S&P 500 Index rose 1.08% to 7,500.58 points.

Gold Price Forecast: Hawkish Fed Triggers Gold Plunge, Can US-Iran Agreement Push Gold Past $4,360?

TradingKey - During the Asian session today (June 18), gold prices (XAU/USD) maintained an intraday rebound, boosted by positive news regarding the potential early signing of a US-Iran agreement. This recovered most of the losses from Wednesday's plunge triggered by the Federal Reserve's hawkish stance, with intraday prices rebounding from Wednesday's low of $4,219 to $4,329.9 at one point. On the technical front, $4,360 represents a key near-term resistance for bulls; only a breakthrough above this level can open up further upside for gold prices.

June Fed Decision Delivered: Rates Held Unchanged but Dot Plot Significantly Raised, 9 Back Continued Rate Hikes in 2026.

TradingKey - On June 17, Eastern Time, the Federal Reserve's latest interest rate decision statement indicated that it chose to hold rates steady at this policy meeting, maintaining the federal funds rate in the 3.50%–3.75% range, while keeping the monetary policy framework of ample reserves in the banking system unchanged. The interest rate dot plot released alongside this Fed rate decision sent a clear hawkish signal. The median rate in the dot plot was recorded at 3.8%, a significant upward revision from the March projection of 3.4%.

SpaceX Stock Forecast: SPCX Falls From $225 to $206 as Former Nasdaq Chief Warns It’s Not Trading on Fundamentals

TradingKey - SpaceX SPCX hit an intraday high of $225.64 on June 16 before pulling back to $205.96. Former Nasdaq CEO Robert Greifeld says SPCX trades on aspiration, not fundamentals. RKLB joins Nasdaq-100 in 5 days. Fib target $222.80.

Featured Tools