• USD/CNY climbed to a three-week high on Friday as the yuan weakened, pressured by broad U.S. dollar strength across global markets.
• The dollar stayed elevated after solid U.S. economic data tempered market bets on additional Federal Reserve policy easing this year.
• Investors are now awaiting the release of U.S. consumer spending data on Friday, which could provide additional guidance on the Federal Reserve’s policy direction.
• At GMT 11:01,the dollar was up 0.03% at 7.135 against Chinese Yuan
• Immediate resistance is located at 7.141 (38.2%fib), any close above will push the pair towards 7.146(Higher BB).
• Support is seen at 7.124(SMA 20) and break below could take the pair towards 7.102 (23.6%fib).
Recommendation: Good to buy around 7.140 with stop loss of 7.120 and target price of 7.170
