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FxWirePro: USD/ CNY edges higher but the overall outlook remains bearish

• USD/ CNY recovered slightly  on Tuesday but  remained close to a three-week low as investors booked profit on shorts.

• Official data released on Tuesday revealed a slight acceleration in China industrial profit growth for July, despite earlier figures in August indicating a slowdown in exports.

• At GMT 19:52,the dollar recovered against Chinese Yuan. It was up 0.04% at 7.123

• Technical signals are bearish as RSI is at 36, daily momentum studies  5, 9 and 10 DMAs are trending down.
 
•  Immediate resistance is located at 7.1291 (Daily high), any close above will push the pai

r towards 7.1396 (50%fib).

• Support is seen at 7.1163(23.6%fib) and break below could take the pair towards 7.1100 (Psychological level).

Recommendation: Good to sell  around 7.1300 with stop loss of 7.1600  and target price of 7.1000

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