• Analytics
  • News and Tools
  • Market News
  • USD/CNH keeps the constructive outlook – UOB
Market News
22.05.2020, 08:03

USD/CNH keeps the constructive outlook – UOB

FXStreet reports that despite the positive outlook for USD/CNH, the 7.1652 level is seen out of reach for the time being, noted FX Strategists at UOB Group.

24-hour view: “The sudden surge in USD that resulted in a relatively strong gain of +0.41% yesterday (7.1352) came as a surprise. The rapid advance appears to be running ahead of itself and while USD could move above the overnight high of 7.1361, a sustained advance above this level is unlikely (there is another strong resistance at 7.1450). Support is at 1.1200 but only a breach of 7.1140 would indicate the current upward pressure has eased.”

Next 1-3 weeks: “USD popped above the top of our expected 7.0800/7.1350 range yesterday (high of 7.1361) before ending the day on a firm note at 7.1352. While upward momentum has picked up, USD does not appear to be ready to move higher in a sustained manner just yet. The overall outlook appears to be mildly positive and there is chance that USD could edge higher but the year-to-date high is a formidable resistance and may not break so easily. To look at it another way, only a daily closing above 7.1652 would ‘confirm’ a break-out. At this stage, the prospect for such a move is not high but it would continue to increase as long as the strong support at 7.0800 is not taken out.”

© 2000-2020. All rights reserved.

This site is managed by Teletrade D.J. Limited 20599 IBC 2012 (First Floor, First St. Vincent Bank Ltd Building, James Street, Kingstown, St. Vincent and the Grenadines).

The information on this website is for informational purposes only and does not constitute any investment advice.

AML Website Summary

Risk Disclosure

Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.

Privacy Policy

Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.

Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.

Live Chat E-mail
Choose your language / location