FX Strategists at UOB Group noted the bullish view on the pair remains unchanged while above 113.20.
“USD registered a range of 113.21/114.49 yesterday, wider than the expected 113.20/114.20 sideway trading range indicated. The sharp rebound from the low appears to have scope to extend higher but at this stage, any up-move is expected to face stiff resistance at 114.90. The next resistance at 115.35/40 is a major level and is unlikely to be challenged for now”.
“In line with expectation, USD extended its rebound and hit 114.50 at the time of writing. The current positive undertone is still intact as long as 113.20 is not taken out and there appears to be scope for extension to 115.35/40. At this stage, a sustained break above this level appears unlikely”.