USD/CNY hovers above key support level, sell on rallies

• Pair is currently supported above 6.49 levels and trading around 6.4909 marks.
   
• It made intraday high at 6.5105 and low at 6.4908 levels.
   
• Intraday bias remains bearish till the time pair holds key resistance at 6.5580 levels.
   
• Alternatively, a sustained close below 6.4910 levels will drag the parity around 6.4732/ 6.4553 levels.
   
• Alternatively, pair likely to consolidate below 6.5220 marks.
   
• China will release industrial production data due tomorrow. This will provide further direction to the parity.

We prefer to take short position in USD/CNY around 6.50, stop loss 6.5220 and target 6.4732 levels.