South Korean Won: Gains hinge on supportive flows against US Dollar – OCBC
Christopher Wong notes that Korean Won strength remains largely flow-driven, with USD/KRW dropping below 1,500 on offshore fund repatriation and official vigilance. While bearish momentum persists, Wong expects the pullback to moderate and sees a sustained break below 1,500 as requiring a benign backdrop for the Dollar, Oil and equities.
Flow-driven strength faces key levels
"KRW continued to outperform, with USD/KRW falling from almost 1,560 at the start of the month to sub-1500 briefly yesterday before rebounding. The move looks flow-driven rather than risk or macro-driven."
"KRW strengthened despite a less friendly macro backdrop, including the oil spike, renewed geopolitical concerns and KOSPI underperformance. USD/KRW appears to have been weighed by inflows and repatriation of funds raised offshore, while official vigilance has also stayed high as Korea shifts into 24-hour trading of USD/KRW."
"For now, flow dynamics may keep KRW supported, but a sustained break below 1500 may still require the broader USD, oil and equity backdrop not to worsen further."
"Bearish momentum on daily chart remains intact while RSI shows tentative signs of turnaround from near oversold conditions."
"Support at 1495 levels (100 DMA), 1490 (50% fibo retracement of 2026 low to high). Resistance at 1511 (50 DMA), 1528/29 levels (21DMA, 23.6% fibo)."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Sui Ecosystem Activity Expands Across DeFi
Cboe and S&P DJI discuss tokenized options to boost onchain derivatives
Silver price retreats as rising US yields, Hormuz tensions bolster US Dollar
U.S. August JOLTS job openings fall to a 5-month low, missing expectations for the third consecutive month
In August, job openings in the United States fell to 7.079 million, below economists' expectations of 7.228 million. Job vacancies in the real estate and rental sector were only 50,000, nearly halved from the previous month. The quit rate remained at 1.9%, matching the lowest level since 2020. The ratio of job vacancies to unemployed persons dropped to 1.0. Analysts have noted that net hires implied by the JOLTS report have been lower than the nonfarm payroll report for three consecutive months, indicating a significant downside risk for this Friday’s nonfarm payroll data.
Crypto prices
More
