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FxWirePro: USD/ CNY beginning to trend higher but hurdles ahead

• USD/CNY   recovered on Wednesday   as dollar firmed slightly ahead  upcoming U.S. economic data.

•   U.S. gross domestic product in the second quarter is due later this week, along with the core personal consumption expenditures (PCE) index.

• The dollar recovered against Chinese Yuan. It was last up 0.09% at 7.130 At GMT 07:11.

• Technical signals are bearish as RSI is at 36, daily momentum studies  5, 9 and 10 DMAs are trending down.
 
•  Immediate resistance is located at 7.1291 (Daily high), any close above will push the pai

r towards 7.1396 (50%fib).

• Support is seen at 7.1163(23.6%fib) and break below could take the pair towards 7.1100 (Psychological level).

Recommendation: Good to sell  around 7.1300 with stop loss of 7.1600  and target price of 7.1000

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