FxWirePro: Chinese yuan falls in early Asia as China signals commitment to tighter financial regulation
USD/CNY is currently trading around 6.7623 marks. It made intraday high at 6.7638 and low at 6.7510 levels. Intraday bias remains bullish till the time pair holds key support at 6.7449 mark. A sustained close above 6.755…
It made intraday high at 6.7638 and low at 6.7510 levels.
Intraday bias remains bullish till the time pair holds key support at 6.7449 mark.
A sustained close above 6.7550 marks will test key resistances at 6.7689, 6.7757, 6.7842, 6.8009, 6.8070, 6.8250, 6.8440, 6.8526, 6.8671, 6.8882, 6.8942, 6.9010 marks 6.9080 marks respectively.
Alternatively, a daily close below 6.7550 will drag the parity down towards key supports at 6.7449, 6.7403, 6.7222 and 6.7118 marks respectively.
PBOC sets yuan mid-point at 6.7464/ dlr vs last close 6.7526.
Fitch on China says tightening is likely to become more targeted as authorities try to limit impact on economic growth.
Fitch on China says more unified regulatory approach would be positive for long-term stability of China's financial system and economy.
We prefer to take long position in USD/CNY around 6.7580, stop loss at 6.7449 and target of 6.7842.
