• USD/CNY strengthened on Thursday as the Chinese yuan weakened as investors assessed the direction of U.S.-China trade negotiations.
• U.S. Treasury Secretary Scott Bessent will meet China's top economic official on May 10 in Switzerland to negotiate over a trade war that is affecting the global economy.
• The talks represent the first opportunity for both sides to ease tensions after a lengthy standoff over tariffs.
•Trump's unpredictable trade policies and unclear tariff implementation have put investors, consumers, and the U.S. Federal Reserve in a cautious wait-and-see stance.
• At GMT 10:22, the dollar was up 0.18% to 7.237 against the Chinese Yuan.
• Immediate resistance is located at 7.239(50%fib), any close above will push the pair towards 7.255 (50%fib)
• Support is seen at 7.218(23.6%fib) and break below could take the pair towards 7.211(May 6th low).
Recommendation: Good to sell around 7.250, with stop loss of 7.300 and target price of 7.190
