FxWirePro: USD/CNY bearish momentum builds as dollar weakens after Iran-Israel ceasefire

• USD/CNY declined on Tuesday as China's yuan strengthened as global risk appetite improved following U.S. President Donald Trump's announcement of a ceasefire between Israel and Iran.

• President Trump on Monday announced a full ceasefire between Israel and Iran, potentially ending the 12-day conflict and easing fears of wider regional escalation.

•The 12-day conflict featured tit-for-tat strikes between Israel and Iran, driving up oil prices as Tehran considered closing the vital Strait of Hormuz.

•Oil prices dropped more than 5% on the day the ceasefire between Israel and Iran took effect, as easing geopolitical tensions reduced fears of supply disruptions

•  Immediate resistance is located at 7.193(38.2%fib), any close above will push the pair towards 7.212(Higher BB)

• Support is seen at 7.158(23.6%fib) and break below could take the pair towards 7.140(Nov 7th 2024low).

Recommendation: Good to sell around 7.180, with stop loss of 7.260 and target price of 7.140