FxWirePro: Chinese yuan falls drastically in early Asia after PBoC’s loan prime rate decision; hits lowest level since Dec 12, 2019
USD/CNY is currently trading around 7.0235 marks. It made intraday high at 7.0256 and low at 6.9975 levels. Intraday bias remains bullish till the time pair holds key support at 6.9975 mark. A sustained close above 7.020…
It made intraday high at 7.0256 and low at 6.9975 levels.
Intraday bias remains bullish till the time pair holds key support at 6.9975 mark.
A sustained close above 7.0207 marks will test key resistances at 7.0388, 7.0552, 7.07 and 7.0920 marks respectively.
Alternatively, a daily close below 6.9975 will drag the parity down towards key supports at 6.98, 6.9649, 6.9550, 6.9210, 6.90, 6.8658, 6.84 and 6.8222 marks respectively.
Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart.
PBoC’s loan prime rate stands at 4.05 pct vs 4.15 pct previous release.
We prefer to take long position on USD/CNY around 7.0150, stop loss at 6.99 and target of 7.0388/7.0552.
