USD/CNH clings to the range bound theme so far – UOB

USD/CNH is still expected to trade within the 6.3300-6.3900 range in the next weeks, commented FX Strategists at UOB Group.

Key Quotes

24-hour view: “USD traded between 6.3619 and 6.3790 yesterday, narrower than our expected sideway-trading range of 6.3600/6.3800. Despite the quiet price actions, upward momentum is showing tentative signs of building. For today, USD could rise above 6.3800 but the next resistance at 6.3860 is unlikely to come into the picture. Support is at 6.3690 followed by 6.3630.”

Next 1-3 weeks: “We continue to hold the same view as from last Thursday (17 Mar, spot at 6.3600). As highlighted, the recent upward pressure has eased and USD is likely to consolidate and trade within a broad range of 6.3300/6.3900 for now.”