UOB Sees Yuan-Dollar Range Trade Continuing Amidst Slight Downward Momentum
According to UOB analysts Quek Ser Leang and Lee Sue Ann, the Chinese Yuan's value against the US Dollar is expected to remain within tight ranges in the coming days. Over the next 24 hours, they forecast a range of between 6.7130 and 6.7230 for USD/CNH. This prediction comes after yesterday's slight increase in downward momentum, which led to a minor decline but no sustained drop in value.
Looking further ahead, UOB analysts anticipate that the US Dollar could edge lower within the range of 6.7050-6.7300 over the next one to three weeks. However, they note that any significant decline would require a break above the 21-week EMA at 6.8430, indicating potential resistance.
In their previous analysis, UOB analysts had predicted that USD/CNH would range-trade between 6.7180 and 6.7270. While there was some fluctuation in value, with USD rising to 6.7266 and then dropping to 6.7162 before closing at 6.7178 (-0.07%), the overall trend remains stable within these tight ranges.