- USD/CNY is currently trading around 6.7025 marks.
- It made intraday high at 6.7043 and low at 6.6853 levels.
- Intraday bias remains slightly bullish till the time pair holds key support at 6.6727 marks.
- A sustained close above 6.6843 marks will test key resistances at 6.73, 6.7422, 6.7510, 6.7778 and 6.8072 marks respectively.
- Alternatively, a daily close below 6.6843 will drag the parity down towards key supports at 6.6722, 6.6650, 6.6540 and 6.62 marks respectively.
- Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart. Current upside movement is short term trend correction only.
- PBOC sets yuan mid-point at 6.6952 / dlr vs last close 6.6877.
We prefer to take long position on USD/CNY only above 6.7150, stop loss at 6.6850 and target of 6.73/6.7422.
