- USD/CNY is currently trading around 6.8662 marks.
- It made intraday high at 6.8708 and low at 6.8606 levels.
- Intraday bias remains neutral for the moment.
- A sustained close above 6.8648 marks will test key resistances at 6.8867, 6.8916, 6.9080, 6.9162, 6.9336, 6.9496, 6.9615, 6.9778 and 6.9883 marks respectively.
- Alternatively, a daily close below 6.8648 will drag the parity down towards key supports at 6.8510, 6.8465, 6.8333, 6.8298, 6.8090 and 6.7769 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 6.8632/dollar vs last close 6.8660.
We prefer to take short position in USD/CNY only below 6.8606, stop loss at 6.8738 and target of 6.8510/6.8465.
