Poon said the baht is likely to fluctuate and weaken, especially if the market is in a risk-off state. However, it will not weaken much if investors sell gold as its price continues to rise.

The support level for the Thai currency will be from 32.50 to 32.60 – a level importers are waiting for so they can purchase dollars. Meanwhile, the baht’s resistance level will be at 33 – a level eyed by exporters so they can offload their dollars, he said.

He added that the dollar might strengthen if the market is in a risk-off state and will be highly volatile if Russia attacks Ukraine. However, the dollar may strengthen due to demand for safe-haven assets. The currency may also be supported if the US Federal Reserve accelerates the tightening of its monetary policy.