FxWirePro: Chinese yuan gains in early hours of Asia, PBOC sets yuan mid-point at 6.8629

• USD/CNY is currently trading around 6.8573 marks.
   
• It made intraday high at 6.8686 and low at 6.8559 levels.
   
• Intraday bias remains bearish till the time pair holds key resistance at 6.87 mark.
   
• A sustained close above 6.87 marks will test key resistances at 6.8867, 6.8916, 6.9080, 6.9162, 6.9336, 6.9496, 6.9615, 6.9778 and 6.9883 marks respectively.
   
• Alternatively, a daily close below 6.87 will drag the parity down towards key supports at 6.8510, 6.8465, 6.8333, 6.8298, 6.8090 and 6.7769 marks respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart. Current downside movement is short term trend correction only.
   
• PBOC sets Yuan mid-point at 6.8629/dollar vs last close 6.8710.            

We prefer to take short position in USD/CNY around 6.86, stop loss at 6.8751 and target of 6.8465/6.8359.