FxWirePro: USD/CNY breaks key support at 6.8996, PBOC sets yuan mid-point at 6.8924

• USD/CNY is currently trading around 6.8912 marks.
   
• It made intraday high at 6.9002 and low at 6.8807 levels.
   
• Intraday bias remains bearish till the time pair holds key resistance at 6.9182 mark.
   
• A sustained close above 6.9182 marks will test key resistances at 6.9248, 6.94 and 6.9648 marks respectively.
   
• Alternatively, a daily close below 6.8996 will drag the parity down towards key supports at 6.8628, 6.8525, 6.8210, 6.80 and 6.7813 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 6.8924/ dlr vs last close 6.9005.

We prefer to take short position on USD/CNY around 6.8950, stop loss 6.9200 and target of 6.8628/6.8525.