FxWirePro: Chinese yuan falls in early Asia as China’s CPI data fails to meet expectations
USD/CNY is currently trading around 6.9175 marks. It made intraday high at 6.9188 and low at 6.9100 levels. Intraday bias remains bullish till the time pair holds key support at 6.8983 mark. A sustained close above 6.911…
It made intraday high at 6.9188 and low at 6.9100 levels.
Intraday bias remains bullish till the time pair holds key support at 6.8983 mark.
A sustained close above 6.9112 marks will test key resistances at 6.9336, 6.9496, 6.9615, 6.9778 and 6.9883 marks respectively.
Alternatively, a daily close below 6.9112 will drag the parity down towards key supports at 6.8983, 6.8621, 6.8550, 6.8465, 6.8333, 6.8298, 6.8090 and 6.7769 marks respectively.
PBOC sets Yuan mid-point at 6.9125/dollar vs last close 6.9135.
China’s February PPI y/y increase to 7.8 % (forecast 7.7 %) vs previous 6.9 %.
China’s February CPI y/y decrease to 0.8 % (forecast 1.7 %) vs previous 2.5 %.
China’s February m/m decrease to -0.2 % (forecast 0.6 %) vs previous 1.0 %.
China’s PPI increases at fastest y/y pace since September 2008 in February.
China’s CPI increases at slowest y/y pace since January 2015 in February.
We prefer to take long position in USD/CNY around 6.9150, with stop loss at 6.8983 and target of 6.9336/6.9365.
