United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann report USD/CNH slipped to 6.7166 and closed slightly lower, with short-term downside momentum gradually building. They have held a negative Dollar view against CNH since early August and now flag 6.7000 as the next level to watch if 6.7200 gives way, while keeping a clear resistance band that would invalidate the bearish scenario.

Negative stance with clear targets

“24-HOUR VIEW: While we indicated yesterday that USD “could edge lower,” we held the view that “the 6.7150 support is unlikely to come under threat.” We were not wrong, as USD declined to a low of 6.7166. Downward momentum is increasing, but not significantly. Today, USD could dip below 6.7150, but based on the prevailing momentum, any further decline is unlikely to reach 6.7100. Resistance is at 6.7210, followed by 6.7250.”

“1-3 WEEKS VIEW: We have held a negative USD view since early this month. Last Friday (21 Aug, spot at 6.7240), we highlighted that “downward momentum continues to increase, and looking ahead, if USD breaks and holds below 6.7200, the next level to watch is 6.7000.” Yesterday, USD closed at 6.7169 (-0.08%). The price action suggests USD could decline further, and the level to watch is 6.7000. We will maintain this view as long as USD holds below 6.7300 (‘strong resistance’ previously at 6.7300).”

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)


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Shin John
Shin JohnYtv Market News
Share-market news writer and analyst with deep experience covering equities, commodities, forex, and cryptocurrencies for readers in the USA, UK, Canada, and Australia. Ytv Market News delivers timely market updates, practical trading insights, and clear explanations of macro and company-level catalysts that move prices. Combines on-the-ground financial reporting with technical analysis, using concise charts and actionable ideas to help investors and traders make smarter decisions.