South Korea central bank is suspected of buying dollars to curb Wons gains
Earlier South Korean finance minister spokeSouth Korea's central bank is suspected buying dollars to curb the KRWs gains.
Earlier, the finance minister was on the wires saying:
- will take action to stabilize currency markets if needed
- The central bank is monitoring the FX market
Looking at the USDKRW, the pair has seen a modest rise over the last few minutes, but remains below a topside trend line on the hourly chart below. The pair has been trending to downside since running away from its 100 and 200 hour MA back on September 14. Since then, the pair has tested the falling 100 hour MA (blue line) on September 28 and more recently on October 7, but has accelerated the downside (higher KRW) since the last test (price moving farther away from the lagging 100 hour MA line).