FxWirePro: Chinese yuan appreciates after Premier Li’s comments
USD/CNY is currently trading around 6.3316 marks. It made intraday high at 6.3453 and low at 6.3285 levels. Intraday bias remains bearish till the time pair holds key resistance at 6.3600 mark. A sustained close above 6.…
It made intraday high at 6.3453 and low at 6.3285 levels.
Intraday bias remains bearish till the time pair holds key resistance at 6.3600 mark.
A sustained close above 6.3427 marks will test key resistances at 6.3625, 6.3855 and 6.4017 marks respectively.
Alternatively, a daily close below 6.3427 will drag the parity down towards key supports at 6.3286, 6.3168, 6.2942, 6.2827, 6.2584, 6.2322, 6.2196 and 6.1907 marks respectively.
PBOC sets yuan mid-point at 6.3431 / dlr.
Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
China Feb Caixin services PMI decrease to 54.2 vs previous 54.7.
China Caixin Feb composite PMI (services and manufacturing) falls to 53.3 vs Jan 53.7.
We prefer to take short position on USD/CNY around 6.3370, stop loss at 6.3600 and target of 6.2942/6.2584.
