FxWirePro: USD/CNY edges lower as Yuan firms on trade optimism

• USD/CNY edged lower  on Friday  as Chinese Yuan firmed as markets reacted positively to a perceived easing in U.S. rhetoric toward China, despite no concrete progress in trade talks.

•On Tuesday, President Donald Trump mooted a de-escalation of their tit-for-tat tariff battle, and said direct talks were already underway.

• China   granted exemptions on certain U.S. imports from its 125% tariffs and is asking businesses to identify eligible goods.

• The tariff exemptions granted by China represent the latest sign that the world’s two largest economies are seeking to de-escalate their trade war.

• At GMT 07: 43, the dollar down 0.02% to 7.285 against the Chinese Yuan.

•  Immediate resistance is located at 7. 304 (50%fib), any close above will push the pair towards 7. 314(April 22nd high)

• Support is seen at 7.281 (61.8%fib) and break below could take the pair towards 7.267 (April 3rd low ).

Recommendation: Good to buy around 7.280, with stop loss of 7.210 and target price of 7.320