USD/SGD: Corrective pullback – OCBC

USD/SGD continued to trade lower, amid broad US Dollar (USD) pullback. Pair was last seen at 1.3407 levels.

Technical patterns point to signs of bearish pullback

“Daily momentum is mild bullish but shows signs of waning while RSI was flat. Bearish divergence on MACD and rising wedge pattern appear to be forming. Technical patterns point to signs of bearish pullback in the near term. Support at 1.3340 (200 DMA), 1.3290 (61.8% fibo retracement of Jun high to Oct low). Resistance at 1.3490, 1.3520 levels.”

“Policy uncertainties associated with Trump policies, swings in RMB and JPY should continue to drive USDSGD in the near term. S$NEER was last at 1.35% above model-implied mid.”