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FxWirePro: USD/CNY touches 6.6390 mark in early Asian hours, PBOC sets yuan mid-point at 6.6166

  • USD/CNY is currently trading around 6.6093 marks.
     
  • It made intraday high at 6.6390 and low at 6.6066 levels.
     
  • Intraday bias remains bullish till the time pair holds key support at 6.5758 marks.
     
  • A sustained close above 6.6246 marks will test key resistances at 6.6418, 6.6510, 6.6724 and 6.6801 marks respectively.
     
  • Alternatively, a daily close below 6.6246 will drag the parity down towards key supports at 6.5991, 6.5758, 6.5500, 6.5340 and 6.5008 marks respectively.
     
  • Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart. Current downside movement is short term trend correction only.
     
  • PBOC sets yuan mid-point at 6.6166 / dlr vs last close 6.6248.
     
  • China sets yuan mid-point at weakest level since December 13, 2017.

We prefer to take long position on USD/CNY around 6.5950, stop loss 6.5750 and target of 6.6418.

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