USD/CNH is now seen trading between 6.6600 and 6.7400 in the next weeks, commented FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang.
24-hour view: “We expected USD to ‘trade between 6.6650 and 6.7250’ last Friday. USD subsequently traded within a narrower range than expected (6.6827/6.7256). The price actions appear to be part of a consolidation and we expect USD to trade between 6.6920 and 6.7250 for today.”
Next 1-3 weeks: “Last Thursday (16 Jun, spot at 6.6885), we highlighted that the recent advance in USD has come to an end and we were of the view the short-term weakness has scope to extend to 6.6300. Since then USD has not been able to make any headway on the downside. Downward pressure has eased USD is likely to trade between 6.6600 and 6.7450 for now.”