USD/SGD Forecast Today - 24/06: USD Pressures SGD (Chart)
Date
6/24/2024 4:40:42 AM
(MENAFN- Daily Forex)
The US dollar initially fell during the trading session on Friday, but once Wall Street got the memo that there is still a fact of inflation that they have to worry about, everybody freaked. They jumped into the US dollar, and now we have seen a lot of volatility overall. However, this pair isn't typically very volatile, so it might have been a nice place to hang out.
After the massive candlestick on Thursday, a little bit of a pullback probably could have been expected. That pullback was bought into it and it now looks as if the market is trying to do everything it can to break out to the upside and go much higher, perhaps reaching the 1.36 level. The area that we are currently trading at is rather noisy and resistive, but quite frankly the US dollar will continue to pay you to hang on to this pair over the longer term, as interest rates in Singapore are almost nothing. Because of this, I think eventually we do take off.
Top Forex Brokers
1 Get Started 74% of retail CFD accounts lose money
Technical Analysis
The 50-Day EMA sits at the large candlestick from the Thursday session, which is near the 1.35 level. I had said in analysis during the previous session that this was a nice confluence of support, and the fact that we turned around to show signs of life does suggest that perhaps the market is ready to go higher. Short-term pullbacks should continue to be buying opportunities, and I do think that interest rate traders or so-called“carry traders” will continue to influence where we go from here.
If we are in fact going to head into a slow growth situation globally, that makes the US dollar much more impressive to traders, and places like Singapore won't necessarily be where money flows to as it is considered to be a banking center, but it's a very regional banking Center for parts of Asia. Asia of course is a high-growth area, so if we are seeing that lack of growth, Asia will be punished and by extension the Singapore dollar.
Want to trade our daily forex analysis and predictions ? Here's the best forex brokers in Singapore to check out.
MENAFN24062024000131011023ID1108364283
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.