USD/CNH seen within 6.3050-6.3450 near term – UOB

UOB Group’s FX Strategists keep the mixed outlook in USD/CNH unchanged in the near term.

Key Quotes

24-hour view: “USD traded between 6.3180 and 6.3302 last Friday, narrower than our sideway-trading range of 6.3150/6.3350. The price actions offer no clues and USD could continue to trade sideways, expected to be between 6.3150 and 6.3350.”

Next 1-3 weeks: “We have held the same view since last Tuesday (01 Mar, spot at 6.3100) where the underlying tone has softened but USD has to close below 6.3000 before a sustained decline is likely. USD subsequently traded sideways and the downside risk appears to have dissipated. The outlook is mixed and USD could trade between 6.3050 and 6.3450 for now.”