FxWirePro: Chinese yuan strengthens on the back of higher than expected manufacturing PMI data

• USD/CNY is currently trading around 6.7666 marks.
   
• It made intraday high at 6.7839 and low at 6.7597 levels.
   
• Intraday bias remains bearish till the time pair holds key resistance at 6.7983 marks.
   
• A sustained close above 6.7845 marks will test key resistances at 6.7983, 6.8099, 6.8250, 6.8440, 6.8526, 6.8671, 6.8882, 6.8942, 6.9010 marks 6.9080 marks respectively.
   
• Alternatively, a daily close below 6.7845 will drag the parity down towards key supports at 6.7520, 6.7436 and 6.7222 marks respectively.
   
• PBOC sets yuan mid-point at 6.7744/ dlr vs last close 6.7851.
   
• China June NBS non-manufacturing PMI increases to 54.9 vs previous 54.50.
   
• China June NBS manufacturing PMI increase to 51.7 (forecast 51.0) vs previous 51.2.

We prefer to take short position in USD/CNY around 6.7738, stop loss at 6.7983 and target of 6.7222.

FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest