Quek Ser Leang at UOB Group’s Global Economics and Markets Research noted that a sustainable move above 33.84 in USD/THB looks out of favour for the time being.

Key Quotes

“The strong rise in USD/THB to a high of 33.74 last Friday came as a surprise (we were of the view that USD/THB could test the support at 33.10 last week). Daily MACD has turned positive and this bodes well for further USD/THB strength.”

“However, shorter-term conditions are overbought and while USD/THB could edge above 33.84 this week, it may not be able to maintain a foothold above this level (last month’s high at 34.00 is not expected to come into the picture). On the downside, a breach of 33.35 would indicate that the current upward pressure has eased.”