- USD/CNY is currently trading around 6.5994 marks.
- It made intraday high at 6.6081 and low at 6.5758 levels.
- Intraday bias remains bullish till the time pair holds key support at 6.5340 marks.
- A sustained close above 6.5768 marks will test key resistances at 6.6042, 6.6226, 6.6418 and 6.6510 marks respectively.
- Alternatively, a daily close below 6.5768 will drag the parity down towards key supports at 6.5340, 6.5008, 6.4899, 6.4639, 6.4378, 6.4125 and 6.4017 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 6.5569 / dlr vs last close 6.5797.
- China sets yuan mid-point at weakest level since December 25, 2017.
We prefer to take long position on USD/CNY around 6.5920, stop loss 6.5750 and target of 6.6226/6.6418.
