USD/IDR is expected to navigate within the 14,600-14,740 range in the near term, suggested Quek Ser Leang at UOB Group’s Global Economics & Markets Research.

Key Quotes

“We highlighted last Tuesday (17 May, spot at 14,645) that ‘upward momentum remains strong and USD/IDR could advance further to 14,680, possibly 14,700’. While our view for a stronger USD/IDR was not wrong as it surged to 14,736, we did not anticipate the sharp and swift pullback from the high.”

“The sharp pullback coupled with overbought shorter-term conditions suggests that USD/IDR is unlikely to strengthen much further. For this week, USD/IDR is more likely to trade sideways between 14,600 and 14,740.”