The pair’s outlook remains bullish and could reach the mid-115.00s in the near term, noted FX Strategists at UOB Group.
“While the strong USD rally appears to have scope to extend higher, overbought conditions suggest that the pace of any advance would be slower and the next major resistance at 114.80 is unlikely to yield so easily”.
“We indicated on Tuesday that a daily closing above 113.50 would shift the outlook for USD to bullish. This condition was met when NY closed at on a very strong note at 113.95 on Tuesday. The target from here is at 114.90 followed by the 115.50 high seen in March. Stop-loss is at 113.30”.