• USD/CNY steadied around 7.298 on Friday as a widening yield gap with the United States and tariff threats pressured the Chinese currency.
• Trump, set to assume the U.S. presidency in January, has warned major trading partners to address their trade surpluses with the U.S. or face heavy import duties.
• China left its benchmark lending rates unchanged, as expected, but long-dated bond yields continued to decline after a brief rebound, following the central bank's warning against a potential bond bubble.
• At GMT 09.58,the dollar was up 0.04% at 7.298 against Chinese Yuan .
• Immediate resistance is located at 7.303(23.6%fib), any close above will push the pair towards 7.312(Higher BB)
• Support is seen at 7.285(Dec 19th low) and break below could take the pair towards 7.262(38.2%fib).
Recommendation: Good to buy around 7.290 with stop loss of 7.240 and target price of 7.350
