FxWirePro: Chinese yuan appreciates on the back of higher than expected Caixin services PMI data
USD/CNY is currently trading around 6.6140 marks. It made intraday high at 6.6197 and low at 6.6131 levels. Intraday bias remains bearish till the time pair holds key resistance at 6.6210 mark. A sustained close above 6.…
It made intraday high at 6.6197 and low at 6.6131 levels.
Intraday bias remains bearish till the time pair holds key resistance at 6.6210 mark.
A sustained close above 6.6210 marks will test key resistances at 6.6326, 6.6405, 6.6464, 6.6510, 6.6615, 6.6673, 6.6735 and 6.6964 marks respectively.
Alternatively, a daily close below 6.6184 will drag the parity down towards key supports at 6.6055, 6.5839, 6.5710, 6.5635, 6.5456 and 6.5371 marks respectively.
PBOC sets yuan mid-point at 6.6113/ dlr vs last close 6.6166.
Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
China Nov 2017 Caixin services PMI increase to 51.9 vs previous 51.2.
We prefer to take short position on USD/CNY around 6.6170, stop loss 6.6210 and target of 6.6055/6.5710.