United Overseas Bank (UOB) analysts Quek Ser Leang and Lee Sue Ann report that the USD/CNH currency pair slipped to 6.7459 after failing to sustain a modest bounce, with limited downside momentum observed. Intraday, the analysts see potential for the pair to test last week's low of 6.7420, but they doubt a sustained break below this level is likely [1]. For the next 1–3 weeks, UOB expects USD/CNH to continue edging lower toward 6.7300, provided the strong resistance at 6.7640 is not breached. A move above 6.7550 would signal that the current downward pressure has eased [1].
In their 24-hour view, UOB indicated that USD/CNH is likely to trade between 6.7500 and 6.7620, but after reaching a high of 6.7597, the pair dropped to a low of 6.7459. The analysts note that while downward momentum has not increased significantly, a test of last week's low near 6.7420 is possible, though a continued decline below this level is unlikely [1].
On a 1–3 week horizon, UOB maintains its view that the USD/CNH could continue to edge lower toward 6.7300 as long as the 6.7640 resistance level is not breached. This outlook remains unchanged from their previous analysis two days ago, when the spot was at 6.7490 [1].
No specific market reactions, analyst opinions beyond UOB's forecast, or forward-looking statements regarding broader market implications are provided in the article [1].
CONCLUSION
UOB analysts expect the Chinese Yuan to gradually strengthen against the US Dollar, with USD/CNH potentially moving toward 6.7300 if resistance at 6.7640 holds. Downward momentum remains limited, and a sustained break below recent lows is considered unlikely. The market takeaway is a soft downside bias for USD/CNH in the near term.