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The USD/KRW pair has completed a small “double bottom” base to suggest further near-term upside potential with initial resistance seen at 1131, per Credit Suisse.

Key quotes

“USD/KRW has completed a small ‘double bottom’ base to suggest a deeper correction higher, which is further reinforced by daily and weekly MACD momentum breaking higher.” 

“Resistance is initially seen at the 23.6% retracement of the entire 2020/2021 fall at 1131, removal of which could open the door the ‘measured base objective’ at 1142, just shy of key 2019 and 2020 lows as well as the ‘neckline’ to the very large top which is still in place at 1149/54.” 

“Post a lengthier corrective phase, we look for a resumption of the core bear trend, for an eventual move below the recent range lows at 1081/80, which would expose the 1054 low of 2018.”