Singapore dollar to Australian dollar rate steady after MAS policy decision: Can SGD/AUD hold recent gains?

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Singapore Dollar vs Australian Dollar up 0.05%

Highlights

The Monetary Authority of Singapore kept the SGD NEER policy band unchanged at its October 2026 review after previous tightening moves.
Singapore's third quarter GDP grew 5.4% year on year, above forecasts, as the SGD NEER remains on an appreciation path.
SGD/AUD maintains bullish momentum supported by multiple indicators, trading in a projected range of A$1.117 to A$1.1282 with a high probability of further upside.

MAS signals steady policy as GDP strength anchors Singapore dollar

The Monetary Authority of Singapore (MAS) maintained its SGD Nominal Effective Exchange Rate (NEER) policy band unchanged at the October 2026 review, according to Tradingpedia, signaling a pause after two earlier tightening steps. This move indicates the central bank is balancing between preserving prior policy support for the Singapore Dollar and avoiding further near-term tightening. Despite Singapore's third quarter GDP surpassing forecasts with a 5.4% year-on-year increase, MAS continued to keep the SGD NEER on an appreciation path, which according to FXStreet, provides a fundamental anchor for the currency within the current policy framework.

Persistent buyer interest as momentum indicators flag overbought risks

The H1 chart shows SGD/AUD trading above the MA-20 at A$1.1176 and MA-50 at A$1.118, while the pair also stands well above the daily MA-200 at A$1.1065. The Ichimoku Kijun sits at A$1.1173, functioning as immediate support. Momentum indicators remain supportive: MACD and ADX both point to persistent buying activity, as RSI hovers at 64 alongside Bull/Bear Power in buy territory, highlighting continued buyer interest. The CCI registers as overbought while Stoch RSI is neutral, indicating some caution for those looking to initiate new long positions. Awesome Oscillator continues to confirm the underlying uptrend.

Breakout scenario favored as resistance nears amid consolidation

Short term, SGD/AUD is expected to consolidate within the A$1.117 to A$1.1282 corridor, consistent with typical volatility. There is a very high probability of further gains if the pair breaks above resistance towards A$1.1282. The bullish scenario would be confirmed by positive momentum extending with a clear breach of this upper band. Conversely, a bearish move below A$1.117 could expose the pair to renewed selling pressure, although current signals imply this outcome is unlikely.

Anton Kharitonov, expert at Traders Union, sees the MAS decision to pause further tightening as a sign of near-term caution, despite supportive macro data. Technically, he notes SGD/AUD retains upside bias above A$1.117, but overbought signals and narrow trading urge restraint. He highlights that momentum remains with buyers, but the current setup still favors a wait-and-see approach. "Until there is a decisive breakout above A$1.1282 or a reversal below A$1.117, I prefer to stay neutral on this pair."

Earlier, analysts noted that while short-term pressure was evident in SGD/AUD the medium- to long-term outlook remained constructive. The current technical signals reinforce this bullish view, with the key upside risk now centered on a sustained break above A$1.1282 broadening the scope for further gains.

Source of Data: SGD Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.