- USD/CNY is currently trading around 6.7125 marks
- It made intraday high at 6.7129 and low at 6.7067 levels.
- Intraday bias remains neutral till the time pair holds key support at 6.70 mark.
- A sustained close above 6.7380 marks will test key resistances at 6.7422, 6.7510, 6.7778 and 6.8072 marks respectively.
- Alternatively, a daily close below 6.6915 will drag the parity down towards key supports at 6.6853, 6.6650, 6.6540 and 6.6234 marks respectively.
- Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
- PBOC sets yuan mid-point at 6.7055 / dlr vs last close 6.7093.
We prefer to take short position on USD/CNY only below 6.7050, stop loss at 6.7250 and target of 6.6853.
