FxWirePro: USD/CNY hits one week high, outlook bullish

• USD/CNY hit one week high on  Wednesday     as the greenback strengthened on Gulf tensions while the PBOC turned defensive to defend pressure on yuan.

• The dollar stood tall at a week-high against most of its peers in early Asia trade, as the bids for safe-haven currency resumed after the U.S. unleashed a new wave of strikes against Iran.

• Prior to the market opening, the People's Bank of China set the midpoint rate at 6.8077 per dollar, 59 pips weaker than a Reuters' estimate..

• The central bank has been setting the guidance weaker than market projections in recent months as it aims to manage the pace of appreciation. However, the fixing gap has narrowed significantly from over 500 pips seen at times over the past month

• The yuan is now down 0.2% against the dollar this month but remains 2.9% firmer so far this year.

•  Immediate resistance is located at 6.812(Higher BB), any close above will push the pair towards 6.823(50%fib)

• Support is seen at 6.789(38.2%fib) and break below could take the pair towards 6.783(SMA 20).

Recommendation: Good to buy around 6.790, with stop loss of 6.750  and target price of 6.830