USD/TWD: Uptrend is likely to extend on a break past 31.50/31.58 – SocGen
The TWD is languishing ahead of the presidential election on Saturday. Economists at Société Générale analyze USD/TWD outlook.
Positioning for Taiwan presidential election may spur safe haven-demand for Bonds, Gold, Swissie
Safe-haven demand ahead of the presidential election in Taiwan on Saturday could see investors buying government debt, the Swiss Franc and Gold.
USD/TWD has experienced a quick bounce after testing the trend line drawn since 2022 near 30.48. Cross above the upper band of a pattern resembling falling wedge denotes possibility of further upside.
Recent gap at 30.80 is near term support. Defence of this level can lead to continuation in up move towards 50-DMA and recent pivot high at 31.50/31.58; this is an important hurdle. If the pair overcomes this zone, the uptrend is likely to extend.
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FXStreet Insights Team
FXStreet
The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.
