- USD/CNY is currently trading around 6.9193 marks.
- It made intraday high at 6.9330 and low at 6.9048 levels.
- Intraday bias remains bullish till the time pair holds key support at 6.87 marks.
- On the top side, a sustained close above 6.9050 marks will test key resistances at 6.9435, 6.9637 and 6.9883 marks respectively.
- Alternatively, a daily close below 6.90 will drag the parity down towards key supports at 6.87, 6.8550, 6.8449, 6.8090, 6.7969, 6.7769, 6.7540, 6.7439, 6.7370, 6.7288, 6.7180 and 6.7055.
- Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart.
- PBOC sets Yuan mid-point at 6.9085/ dollar vs last close 6.9190.
- Yuan midpoint is weakest since June 2008.
- China's offshore yuan falls past 6.9600 per dollar.
We prefer to take long position in USD/CNY around 6.9120, stop loss at 6.8890 and target of 6.9637.
