In view of FX Strategists at UOB Group, USD/CNH should continue to trade within the current rangebound theme in the next weeks.
24-hour view: “Instead of ‘trading sideways within a 7.0230/7.0400 range’, USD popped to a high of 7.0456 yesterday. While the advance lacks momentum, there is scope for USD to edge towards 7.0500. At this stage, a sustained rise above this level is not expected. Support is at 7.0350 followed by 7.0260”.
Next 1-3 weeks: “There is not much to add as USD traded in a quiet manner and closed unchanged at 7.0326 last Friday (29 Nov). The movement is still viewed as part of a sideway-trading. In other words, we continue to expect USD to trade between 6.9700/7.0500 for a while more”.
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.