FxWirePro: Chinese yuan remains almost unchanged after Caixin services PMI data

• USD/CNY is currently trading around 7.0261 marks.
   
• It made intraday high at 7.0303 and low at 7.0247 levels.
   
• Intraday bias remains bearish till the time pair holds key resistance at 7.0540 mark.
   
• A sustained close above 7.0299 marks will test key resistances at 7.0540, 7.0920, 7.1152, 7.1476 and 7.1548 marks respectively.
   
• Alternatively, a daily close below 7.0299 will drag the parity down towards key supports at 7.0108, 6.97, 6.9297 and 6.88 marks respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
   
• China’s Caixin services PMI stands at 51.1 vs 51.3 previous release (expected 51.5).

We prefer to take short position on USD/CNY only below 7.0230, stop loss at 7.0540 and target of 7.0108/6.97.