Further sideways trading seems likely; probably between 7.2300 and 7.2530. In the longer run, downward pressure remains intact; should USD break below 7.2260, the next level to watch is 7.2000, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.
The next level to watch is 7.2000
24-HOUR VIEW: “Following last Thursday’s price action, we indicated on Friday that ‘There has been no change in either downward or upward momentum, and USD could continue to trade sideways, likely between 7.2300 and 7.2600.’ USD then traded in a range of 7.2282/7.2533, closing marginally higher by 0.02% at 7.2467. The price action provides no fresh clues, and further sideways trading seems likely, probably between 7.2300 and 7.2530.”
1-3 WEEKS VIEW: “Out most recent narrative was from last Thursday (06 Mar, spot at 7.2440), wherein ‘the downward pressure remains intact, and should USD break below and hold below 7.2260, the next level to watch is 7.2000.’ USD has not been able to make much headway on the downside, and downward momentum is slowing. However, as long as 7.2800 (no change in ‘strong resistance’ level from last Friday) is not breached, there is still a chance for USD to break clearly below 7.2260.”