Quek Ser Leang at UOB Group’s Global Economics and Markets Research suggests further upside in USD/THB should meet the next hurdle of note at 34.25.

Key Quotes

“Our view for USD/THB last week was that ‘there is room for USD/THB to test the major resistance at 33.81 before the risk of a pullback would increase’. However, USD/THB rose above 33.81 and today, it has edged slightly above 34.00. Note that USD/THB tried to move above 34.00 twice last year but failed both times.”

“If USD/THB can maintain a foothold above 34.00 within these few days, it is likely to strengthen further. Resistance levels are at 34.25 and 34.40. Overall, the risk for USD/THB is on the upside as long as it does not move below 33.70.”