FxWirePro: USD/CNY edges higher but bearish setup remains

• USD/CNY edged higher  on  Wednesday  as China's yuan eased as higher U.S. bond yields and firmer oil prices lifted the greenback.

• The dollar strengthened against major currencies this week and held firm on Wednesday as renewed U.S.-Iran hostilities pushed oil prices higher and revived concerns over inflation..

• The currency’s safe-haven appeal has been reinforced by rising Treasury yields and growing expectations of a Federal Reserve rate hike.

• Prior to the market opening, the People's Bank of China set the midpoint rate   at 6.7829 per dollar, 591 pips weaker than a Reuters' estimate.

• Investors are also turning their attention to U.S. labor market data ahead of Friday’s closely watched nonfarm payrolls report.

•  Immediate resistance is located at 6.732(SMA20), any close above will push the pair towards 6.744(38.2%fib)

• Support is seen at 6.718(23.6%fib) and break below could take the pair towards 6.709 (Lower BB).

Recommendation: Good to sell around 6.730, with stop loss of 6.750 and target price of 6.700