FxNews—In October 2024, Singapore’s foreign exchange reserves increased to SGD 507.6 billion, up from SGD 499.7 billion in September. This was the highest level since March 2022. The rise was driven by higher amounts in special drawing rights (SDRs), which grew to SGD 8.36 billion from SGD 8.27 billion in September.
The IMF reserve position also increased, reaching SGD 1.73 billion compared to SGD 1.71 billion the previous month. Additionally, gold and foreign exchange reserves rose to SGD 497.5 billion, up from SGD 489.7 billion. A year earlier, in October 2023, reserves were at SGD 463.4 billion.
USDSGD Forecast- 7-October-2024
The American currency began a downtrend from 1.336 against the Singapore dollar. As of this writing, the USD/SGD currency pair trades at approximately 1.321, nearing the 100-period simple moving average, active resistance.
The downtrend was expected because the Stochastic Oscillator was overbought territory, hinting that the U.S. dollar was overpriced then. Currently, the momentum indicators are declining, and they are not oversold. This development suggests that the downtrend can potentially resume to lower support levels.
USDSGD Bulls Eye 1.326 for Uptrend Continuation
The immediate support is at 1.320, in conjunction with the 100-period SMA. The market outlook remains bullish as long as USD/SGD exceeds this support. However, for the uptrend to resume, bulls must pull the price above the immediate resistance of 1.326.
In this scenario, the uptrend resumes, and the next bullish target could be the 1.336 mark.
USDSGD Bearish Scenario
Conversely, if the USD/SGD currency pair dips below the immediate support (1.320), the current bearish momentum will likely extend to the 38.2% Fibonacci retracement level at 1.314. Furthermore, if the selling pressure exceeds 1.314, the next bearish target could be the 50% Fibonacci retracement level at 1.307.
- Support: 1.320 / 1.314 / 1.307
- Resistance: 1.326 / 1.336
J.J Edwards is a finance expert with 15+ years in forex, hedge funds, trading systems, and market analysis.
