USD/CNH Range Trade Persists Near 6.7450

Analysts at United Overseas Bank (UOB) are predicting that the US Dollar against the Chinese Yuan (USD/CNH) will continue to trade in a tight range. According to UOB analysts Quek Ser Leang and Lee Sue Ann, momentum indicators for USD/CNH remain flat, indicating no clear direction for the pair.

The analysts expect USD/CNH to trade between 6.7400 and 6.7500 over the next 24 hours, with a slight chance of drifting lower towards 6.7300 if strong resistance at 6.7580 is not breached. Over the 1-3 week horizon, they still see scope for a drift lower toward 6.7300 unless strong resistance at 6.7580 is breached.

The analysts have been monitoring USD/CNH's momentum indicators closely and note that they remain flat despite some fluctuations in price. They attribute this to the lack of clear direction from market participants, resulting in a range-bound trade.