FxWirePro: Taiwanese dollar falls in early hours of Asia on the back of lower than expected CPI data

• USD/TWD is currently trading around 31.45 marks.
   
• It made intraday high at 31.50 and low at 31.37 marks.
   
• Intraday bias remains bearish till the time pair holds key resistance at 31.79 marks.
   
• A daily close above 31.88 will drag the parity up towards key resistances around 31.98, 32.12, 32.25, 32.43 and 32.63 marks respectively.
   
• On the other side, key support levels are seen at 31.31, 31.21, 30.99, 30.85 and 30.39 marks respectively.
   
• Taiwan August CPI +0.57 pct y/y (Reuter’s poll +0.93 pct).
   
• Taiwan August WPI -4.10 pct y/y.
   
• Taiwan August core CPI +0.77 pct y/y.
   
• Taiwan August seasonally adjusted CPI -0.23 pct m/m.

We prefer to go short on USD/TWD around 31.58 with stop loss at 31.88 and target of 31.21/30.99.