- USD/CNY is currently trading around 6.8935 marks.
- It made intraday high at 6.9329 and low at 6.8792 levels.
- Intraday bias remains slightly bearish for the moment.
- A sustained close above 6.9347 marks will test key resistances at 6.9414, 6.9590 and 6.9726 marks respectively.
- Alternatively, a daily close below 6.9347 will drag the parity down towards key supports at 6.9000, 6.8792 and 6.8457 marks respectively.
- Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart. Current downside movement is short term trend correction only.
- PBOC sets yuan mid-point at 6.8946 / dlr vs last close 6.9340.
Positioning is inconclusive at this point, with prices offering no clear cut signal to initiate a long or short trade. We will continue to remain on sidelines for the time being.
