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FxWirePro: USD/CNY hits thirteen month high, room for further gains

• USD/CNY hit thirteen month  high on  Tuesday as tariff risks and weakness in China's economy pushed the yuan  lower .

• Over the weekend, Trump threatened to impose punitive tariffs unless BRICS member countries committed to maintaining the dollar as the global reserve currency.

• Less than a week earlier, Trump announced plans to impose an additional 10% tariff on China, adding to his campaign pledge of tariffs exceeding 60% on Chinese goods.

• At GMT 07:02,the dollar was up 0.15% at 7.282 against Chinese Yuan .

 •  Immediate resistance is located at 7.291(Daily high), any close above will push the pair towards 7.300(Higher BB)

• Support is seen at 7.227(38.2%fib) and break below could take the pair towards 7.258(SMA 5).

Recommendation: Good to buy around  7.270 with stop loss of 7.200  and target price of 7.350

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