USD remains firm vs. its rivals – UOB

FX Strategist at UOB Group Peter Chia has noted the solid note of the greenback against its main competitors.

Key Quotes

“EUR/USD continues to trade surprisingly directional, took out Brexit day low of 1.0913 to as low as 1.0857 overnight. Current down-move could extend towards 1.0800 and transit into consolidation due to cluster of strong supports at 1.0800/20 area”.

“GBP/USD is still caught in the wide 1.2100/1.2325 range; expect near-term support at 1.2180, followed by 1.2130 while 1.2300 should cap advances”.

“USD/JPY found itself trade below and subsequently capped by ¥104 as UST 10-yr yield declined; still favoring a lower move rather than higher, looking to turn bearish on a daily close below 103.50”.

“AUD/USD got sold off for a second day, by 0.2% to 0.7608 as it is increasingly evident that a triple tops at 0.7730 has been formed. Here, favor sell rallies towards 0.7650 to target an eventual test of 0.7500 this week should the downside develops. Risk limited to a close above 0.7700”.