USD/SGD faces further upside above 1.3715 – UOB
|Quek Ser Leang at UOB Group’s Global Economics & Markets Research reviews the prospects for USD/SGD in the near term.
Key Quotes
“…we highlighted that ‘risk for 3Q is clearly on the upside’. We added, ‘what is less clear is whether the anticipated advance in USD/SGD has enough momentum to rise above the March’s high near 1.3530’.
“USD/SGD not only cracked 1.3530 but it also closed above this level last week before surging to a high of 1.3693 yesterday (20 Jul). Strong momentum suggests USD/SGD is likely to strengthen further. In view of the impulsive price actions, a break of 1.3715 would not be surprising. A break of 1.3715 would shift the focus to 1.3795, the high in October last year.”
“While a move to the major long-term resistance at 1.3900 (top of the weekly Ichimoku cloud) is not ruled out, this level could be out of reach within these couple of months. On the downside, the ‘break-out’ level at 1.3530 is acting as a solid support but only an unlikely breach of 1.3470 would indicate that the risk for a higher USD/SGD has dissipated.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.