FxWirePro: Chinese yuan rises gradually against U.S. dollar, hits strongest level since May 2016
USD/CNY is currently trading around 6.5424 marks. It made intraday high at 6.5566 and low at 6.5404 levels. Intraday bias remains bearish till the time pair holds key resistance at 6.5887 mark. A sustained close above 6.…
It made intraday high at 6.5566 and low at 6.5404 levels.
Intraday bias remains bearish till the time pair holds key resistance at 6.5887 mark.
A sustained close above 6.5551 marks will test key resistances at 6.5887, 6.6013, 6.6227, 6.6673, 6.6735, 6.6814, 6.7055, 6.7206, 6.7289 and 6.7373 marks respectively.
Alternatively, a daily close below 6.5551 will drag the parity down towards key supports at 6.5357, 6.4910 and 6.4538 marks respectively.
PBOC sets yuan mid-point at 6.5668/ dlr vs last close 6.5596.
Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
China sets yuan mid-point at strongest level since June 23, 2016.
We prefer to take short position in USD/CNY around 6.5460, stop loss at 6.5887 and target of 6.4910.