• USD/CNY slipped to more than three-year low on Wednesday as the greenback dropped after U.S. President Donald Trump agreed to a two-week ceasefire with Iran.
Donald Trump announced a two-week ceasefire between the US and Iran, narrowly avoiding a potentially catastrophic escalation in the region.
• Also Supporting the currency, the People’s Bank of China set the yuan midpoint at 6.8680 per dollar before market open its strongest since April 2023.
•The spot yuan is allowed to trade 2% either side of the fixed midpoint each day.
• Immediate resistance is located at 6.858(Feb 26t high), any close above will push the pair towards 6.8689(38.2%fib)
• Support is seen at 6.828 (Daily low) and break below could take the pair towards 6.821(23.6%fib).
Recommendation: Good to sell around 6.834 with stop loss of 6.845 and target price of 6.820
