USD/SGD Technical Analysis

The US Dollar has been gaining more and more ground against the Singapore Dollar and is now trading at 1.3640. Since concerns about inflation intensified, the US dollar has been gaining more strength in anticipation of a cut in financial stimulus and a possible rise in interest rates. The delta variant of Covid19 has also caused widespread concern across Southeast Asia, questioning the economic recovery countries have experienced in recent months. There is already discussion about the possibility of closing businesses because of the delta variant. This Tuesday traders will be keeping an eye on the US Building Permits data. If the number comes in higher than expected, it could intensify the bullish strength in the US dollar. From a technical point of view, the USDSGD is likely to fluctuate to the 1.3770, where it can find a major resistance.