- USD/CNY is currently trading around 6.9810 marks.
- It made intraday high at 6.9854 and low at 6.9703 levels.
- Intraday bias remains slightly bullish till the time pair holds key support at 6.9687 mark.
- A sustained close above 6.97 marks will test key resistances at 7.00, 7.0207, 7.0388, 7.07 and 7.0920 marks respectively.
- Alternatively, a daily close below 6.9693 will drag the parity down towards key supports at 6.9550, 6.9210, 6.90, 6.8658, 6.84 and 6.8222 marks respectively.
- Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
- China will release trade balance data within a short period of time frame.
We prefer to take short position on USD/CNY around 6.9850, stop loss at 7.0070 and target of 6.9210.
