UOB Analysts Eye 6.7000 as Key Target for USD/CNH

Analysts at United Overseas Bank (UOB) continue to maintain a negative stance on the US Dollar against the Chinese Yuan, or USD/CNH. According to Quek Ser Leang and Lee Sue Ann, the underlying tone has softened even as recent price action remained relatively quiet.

In their analysis, they note that any decline in the dollar is likely part of a lower range of 6.7150/6.7240. However, despite trading between 6.7181 and 6.7255 before closing marginally higher by 0.01% at 6.7220, the support level at 6.7150 appears to be safe from threat.

Looking ahead, a sustained break below 6.7200 would open up the possibility of reaching 6.7000. However, this scenario is contingent on resistance at 6.7340 not being breached. As of now, the analysts continue to hold their negative view on the dollar as long as this resistance level holds.