FxWirePro: USD/CNY partially recovers early session losses

• USD/CNY edged higher on Monday as dollar was  supported by safe-haven flows following the breakdown of U.S.-Iran peace talks.

• Risk-off trades dominated the markets again on Monday as the U.S. military said it would begin a blockade of all maritime traffic entering and exiting Iranian ports and coastal areas.

•The U.S. currency advanced broadly in early Asian trade. The dollar index  held steady above 99, near its highest level in a week.

•Oil prices also surged, with Brent crude futures jumping more than 7% to above $100 a barrel.

• Prior to the market opening, the PBOC set the midpoint rate CNY=PBOC at 6.8657 per dollar, near the three-year high seen last week.

•  Immediate resistance is located at 6.840(Daily high), any close above will push the pair towards 6.875(38.2%fib)

• Support is seen at 6.823(23.6%fib) and break below could take the pair towards 6.806(Lower BB).

Recommendation: Good to sell  around 6.835 with stop loss of 6.900 and target price of 6.800