SDG: Appreciatory Momentum Building

Having dropped precipitously from its 2010 high of SDG2.2222/US$ to SDG2.3600/US$ on July 1, the Sudanese pound has since clawed back some gains, trading at SDG2.2943/US$ on July 14. With the currency smashing through resistance in the SDG2.3100/US$ area, the short-term outlook for the unit is certainly bullish. While heavy intervention by the central bank on the foreign exchange market adds a degree of uncertainty to short-term movements for the currency, we nevertheless expect to see the pound post further gains over the coming weeks, and target a move towards SDG2.2666/US$ in the first instance.

To read the full article, please choose one of the following options: