USD/THB risks a deeper decline near term – UOB

Pablo Piovano FXStreet

Markets Strategist Quek Ser Leang at UOB Group notes USD/THB could grind lower in the near term.

Key Quotes

“Last Monday (13 Feb, spot at 34.60 ), we highlighted that ‘35.39 could be a short-term’ and we held the view ‘the pullback from the high has scope to extend but any decline is viewed as a lower trading range of 34.30/34.90’. However, USD/THB traded between 34.39 and 35.19 before closing at 34.83 (+0.99%).”

“USD/THB started this week on a soft note and the underlying tone appears soft and we see room for USD/THB to edge below 34.30. The next support level at 34.00 is unlikely to come under threat. On the upside, a breach of 35.00 (minor resistance is at 34.75) would indicate that the current mild downward pressure has eased.”

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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