In a recent analysis by OCBC FX strategists Frances Cheung and Christopher Wong, the USD/SGD pair rebounded to near 1.31 before experiencing a partial retracement. Currently, the pair is trading at 1.3070 levels with daily momentum showing a bullish trend while RSI remains flat. It appears that the rebound may have temporarily stalled.
The strategists have identified key levels to watch for in the market. Resistance is seen at 1.3110 (21 DMA) and 1.3160 (23.6% fibo retracement of 2024 high to low), while support levels are at 1.3050 and 1.30 (recent low). Additionally, the S$NEER is estimated to be around 1.87% above the model-implied mid.
Analysis and Implications for Investors
For investors and traders, the recent movement in the USD/SGD pair signals potential opportunities in the currency market. With resistance and support levels clearly defined, there is a chance for strategic entry and exit points to maximize profits.
It is important to closely monitor the market dynamics and stay informed about any developments that may impact the USD/SGD pair. By staying ahead of the curve, investors can make well-informed decisions and navigate the currency market with confidence.