South Korean Won: Uptrend seen resuming against US Dollar – Societe Generale

Societe Generale strategists note that the recent USD/KRW bounce stalled around 1390 and the pair is now testing the lower end of its consolidation, suggesting the broader downtrend may resume. A brief rebound could face resistance at 1367/1372, with downside objectives at 1318 and 1303/1297 if the pair fails to clear those levels.

Bounce fades with fresh downside objectives

"Separately, the KRW rallied to 1333, strongest level vs USD in two years on the back of broad USD retreat, pullback in oil and corporate dollar sales."

"USD/KRW bounce petered out around 1390 and is now challenging the lower limit of its recent consolidation, suggesting that the downtrend may be resuming."

"If a brief rebound materializes, the high achieved earlier this month at 1367/1372 could act as an important hurdle."

"An inability to overcome this resistance may result in a continuation of the decline."

"The next objectives are located at projections of 1318 and 1303/1297."