FxWirePro: Chinese yuan depreciates in early Asia as Caixin services PMI data misses expectations

• USD/CNY is currently trading around 6.9117 marks.
   
• It made intraday high at 6.9128 and low at 6.8894 levels.
   
• Intraday bias remains bullish for the moment.
   
• A sustained close above 6.8893 marks will test key resistances at 6.9210, 6.9396, 6.9450, 6.9768, 6.9850, 6.9929 and 6.9980 marks respectively.
   
• Alternatively, a daily close below 6.8893 will drag the parity down towards key supports at 6.8670, 6.8420 and 6.8215 marks respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart.
   
• China Oct 2018 Caixin services PMI decrease to 50.8 vs previous 53.1.
   
• PBOC sets yuan mid-point at 6.8976 / dlr vs last close 6.8870.

We prefer to take long position on USD/CNY around 6.9020, stop loss at 6.8890 and target of 6.9210/6.9396.