- USD/CNY is currently trading around 6.7061 marks.
- It made intraday high at 6.7070 and low at 6.7019 levels.
- Intraday bias remains neutral for the moment.
- A sustained close above 6.7063 marks will test key resistances at 6.7210, 6.7298, 6.7422, 6.7510, 6.7778 and 6.8072 marks respectively.
- Alternatively, a daily close below 6.7063 will drag the parity down towards key supports at 6.6963, 6.6849, 6.6650, 6.6540 and 6.62 marks respectively.
- Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
- PBOC sets yuan mid-point at 6.7009 / dlr vs last close 6.7070.
- China Feb 2019 retail sales yy stays flat at 8.2 % (forecast 8.1 %) vs previous 8.2 %.
- China Feb 2019 industrial output yy decrease to 5.3 % (forecast 5.5 %) vs previous 5.7 %.
- China Feb 2019 urban investment (ytd)yy increase to 6.1 % (forecast 6 %) vs previous 5.9 %.
We prefer to take short position on USD/CNY only below 6.70, stop loss at 6.7210 and target of 6.6849/6.6650.
