USD/CNH: Unlikely to break above 7.3300 – UOB Group

FXStreet Insights Team FXStreet

US Dollar (USD) could edge higher but is unlikely to break above 7.3300. In the longer run, outlook remains mixed, but USD is likely to trade in a narrower range of 7.2500/7.3300, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

USD is likely to trade in a narrower range of 7.2500/7.3300

24-HOUR VIEW: "We indicated last Friday that 'momentum indicators remain neutral, and we continue to expect range trading, probably in a range of 7.2700/7.3000.' However, USD traded in a higher range between 7.2830 and 7.3111. The price action has resulted in a slight increase in upward momentum. Today, USD could edge higher, but as momentum is not strong, it is unlikely to break above 7.3300. Support is at 7.3000, followed by 7.2920."

1-3 WEEKS VIEW: "We highlighted last Friday (07 Feb, spot at 7.2865) that 'while the outlook remains mixed, the decreasing volatility over the past couple of days suggests USD could trade in a narrower range of 7.2500/7.3300.' There is no change in our view."

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