UOB analysts see further USD strength against SGD but note overbought conditions capping gains at 1.2855 resistance.
The USD/SGD pair climbed to a two-month high of 1.2841, up 0.34%, driven by strong momentum favoring the US dollar. Analysts highlight overbought conditions and a key resistance level at 1.2855, limiting near-term upside potential.
Earlier forecasts suggested a break above 1.2810 could signal further gains, though momentum would need to hold above 1.2805. The Singapore Dollar’s Nominal Effective Exchange Rate remains above its midpoint, pointing to a trading range of 1.2810–1.2870.
Support levels are identified at 1.2820 and 1.2805, with a breach below the latter potentially weakening the current upward bias.