• USD/ CNY edged higher on Friday as China's yuan weakened slightly as traders took profits after stimulus-fueled rally.
• After Tuesday's policy easing announcement, China's Politburo signaled on Thursday a shift toward a more supportive and coordinated economic policy approach.
•The yuan has risen 0.5% this week against dollar, reaching its strongest level since May 2023, and is now up 1.2% for the year.
• At GMT 04:21,the dollar was up 0.04 % at 7.012 against Chinese Yuan.
•Technical signals are bearish as RSI is trending lower, moving averages are trending down
• Immediate resistance is located at 7.020 (Daily high), any close above will push the pair towards 7.041 (38.2%fib).
• Support is seen at 7.011(23.6%fib) and break below could take the pair towards 7.000 (Psychological level).
Recommendation: Good to sell around 7.015 with stop loss of 7.050 and target price of 7.000
