USD/CNH keeps the consolidation unchanged – UOB

USD/CNH is seen extending the consolidative fashion in the next weeks, noted FX Strategists at UOB Group.

Key Quotes

24-hour view: “USD traded between 7.0948 and 7.1150 before ending the day little changed at 7.1110 (+0.05%). The price action offers no fresh clues and USD could consolidate and trade between 7.0950 and 7.1200 for today.”

Next 1-3 weeks: “After dropping sharply late last week, USD has not been able to make much headway on the downside. Downward pressure has eased and our expectation for USD to move toward the end-April low of 7.0535 is not likely to work out. From here, USD is more likely to trade sideways and within a broad range of 7.0700 and 7.1400 for a period.”