UOB Analysts See Downside Bias in USD/CNH Towards 6.7600

UOB analysts Quek Ser Leang and Lee Sue Ann expect USD/CNH to trade within a narrow range of 6.7680 to 6.7780 in the next few days. This is based on the currency pair's recent lackluster performance, with no significant price movements. The analysts maintain that as long as the 6.7820 resistance level holds, there is still scope for a move towards 6.7600 over the next one to three weeks.

The medium-term outlook for USD/CNH requires a break above the 21-week EMA of 6.8430 for a sustained recovery. Currently, the analysts see a downside bias in the currency pair, with yesterday's low of 6.7635 indicating increased downward momentum. However, they note that this momentum has slowed somewhat.