Asian currencies outlook - BBH

Analysts at Brown Brothers Harriman offered a breakdown for Asian currency outlooks.

Key Quotes:

"China:  USD/CNY was retraced the entire post-Brexit drop.  The pair is now trading at the highest level since 2008.  Using the larger 2005-2014 (post-unpegging) move, retracement objectives come in near 6.8940 (38%), 7.16 (50%), and 7.4220 (62%).  The 200-day MA comes in near 6.61.  

Hong Kong:  The USD/HKD peg will remain in place for the foreseeable future.  After a brief spike to 7.77 back in June, the pair has since returned to trade near the bottom of the 7.75-7.85 trading band.  

India:  USD/INR has retraced nearly the entire post-Brexit drop.  Break above the 68.2150 high from June 24 sets up a test of the February 26 high near 68.80.  The 200-day MA comes in near 67.10.  

Indonesia:  USD/IDR has retraced the entire post-Brexit drop.  The pair traded as high as 13873 on November 11 before falling back.  Break of the May high near 13705 sets up a test of the January high near 14000 and then the December high 14125.  The 200-day MA comes in near 13210.  

Korea:  USD/KRW has retraced over three quarters of the post-Brexit drop.  Break of the June 27 high near 1188 sets up a test of May high near 1200 and then the February high near 1245.    Using the larger February-September move, retracement objectives come in near 1167 (50%), and 1186 (62%).  The 200-day MA comes in near 1151.  

Malaysia:  USD/MYR has retraced the entire post-Brexit drop.  The pair is now trading at the highest level since January.  Break of the January 7 high near 4.44 would set up a test of the September 2015 high near 4.48.  The 200-day MA comes in near 4.07.  

Philippines:  USD/PHP has retraced the entire post-Brexit drop.  The pair is now trading at the highest level since December 2008.  The November 2008 high near 50.17 is the next target, followed by the June 2006 high near 53.65.  The 200-day MA comes in near 47.12.  

Singapore:  USD/SGD has retraced the entire post-Brexit drop.  The pair is now trading at the highest level since February, and the January high near 1.4444 is the next target.  Break above that would set up a test of the March 2009 high near 1.5580.  The 200-day MA comes in near 1.3660.  

Taiwan:  USD/TWD has retraced over half of the post-Brexit drop.  The 62% retracement objective comes in near 32.00.  Break above that targets the June 27 high near 32.62.  The 200-day MA comes in near 32.13.  

Thailand:  USD/THB has retraced the entire post-Brexit drop.  Using the larger January-August move, the 62% retracement objective comes in near 35.69.  Break above that targets the January high near 36.42.  The 200-day MA comes in near 35.11."