The US Dollar (USD) is expected to trade in a range between 7.1300 and 7.1550. Longer-term, bullish momentum is building, but the USD must break and hold above 7.1600 before further sustained gains are likely, note UOB Group FX analysts Quek Ser Leang and Lee Sue Ann.
USD must break and hold above 7.1600 for further gains
24-HOUR VIEW: “We expected the USD to rise yesterday, but we were of the view that ‘the 7.1600 level is probably out of reach.’ Although the USD rose more than expected to 7.1650, it quickly retreated to close virtually unchanged (7.1420, -0.06%). The brief rise did not result in an increase in momentum Today, we expect the USD to trade in a range. , probably between 7.1300 and 7.1550.”
1-3 WEEK VIEW: “Two days ago (Oct 28, spot at 7.1460), we highlighted that ‘Although bullish momentum is building, USD must break and hold above 7.1600 before further sustained gains are likely .’ We added, ‘The probability of the USD breaking clearly above 7.1600 will remain intact, as long as the 7.1200 level is not broken in the coming days.’ Yesterday, the USD rose to 7.1650 before retreating quickly. There is no increase in momentum, and we continue to maintain the same view for now.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
