- USD/CNY is currently trading around 6.7799 marks.
- It made intraday high at 6.7904 and low at 6.7789 levels.
- Intraday bias remains bearish till the time pair holds key resistance at 6.7962 marks.
- A sustained close above 6.7834 marks will test key resistances at 6.8072, 6.8210, 6.8525 and 6.8886 marks respectively.
- Alternatively, a daily close below 6.7834 will drag the parity down towards key supports at 6.7764, 6.7590, 6.7346, 6.7250, 6.7050 and 6.6722 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 6.7941 / dlr vs last close 6.7875.
We prefer to take short position on USD/CNY around 6.7820, stop loss at 6.7970 and target of 6.7590/6.7422.
