FxWirePro: Chinese yuan resumes trading lower against U.S. dollar after short holidays, PBOC sets yuan mid-point at 6.8957

• USD/CNY is currently trading around 6.8970 marks.
   
• It made intraday high at 6.9052 and low at 6.8679 levels.
   
• Intraday bias remains bullish for the moment.
   
• A sustained close above 6.8705 marks will test key resistances at 6.9050, 6.9248, 6.9347 and 9.9620 marks respectively.
   
• Alternatively, a daily close below 6.8705 will drag the parity down towards key supports at 6.8420, 6.8215, 6.7980, 6.7864, 6.7624, 6.7510 and 6.7160 marks respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart.
   
• PBOC sets yuan mid-point at 6.8957 / dlr vs last close 6.8725.
   
• China Central bank sets yuan midpoint at weakest level Since May 11, 2017.
   
• China Caixin/markit Sept services PMI rises to 53.1, 3-mth high vs Aug 51.5.
   
• China Caixin/markit Sept composite PMI (services and manufacturing) at 52.1 vs 52.0 in Aug.

We prefer to take long position on USD/CNY around 6.8850, stop loss 6.8700 and target of 6.9248.