FxWirePro: USD/CNY dips as market eye US-China trade talks

• USD/CNY dipped   on Thursday  as China's yuan firmed as U.S. and Chinese leaders met in South Korea with investors hoping they would reach a trade truce..

• Investors are also awaiting updates from the Trump–Xi meeting later in the day, where a long-anticipated trade deal between the world’s two largest economies is expected to be finalized.

•Trump struck an upbeat tone ahead of his APEC meeting with Xi, citing momentum from a recent trade breakthrough with South Korea as a sign that a U.S.–China deal could soon follow.

• Analysts noted that a successful trade deal could revive demand for commodities like metals and oil, with both the U.S. and China ranking as the world’s biggest buyers..

• The trade war reignited this month after Beijing proposed significantly expanding restrictions on exports of rare-earth minerals, crucial materials for high-tech industries in which China holds a dominant position.

•  Immediate resistance is located at 7.102(29th Oct high), any close above will push the pair towards 7.118(50%fib).

• Support is seen at 7.087(Nov 5th 2024 low) and break below could take the pair towards 7.077(38.2%fib).

Recommendation: Good to sell around 7.097 with stop loss of 7.110  and target price of 7.070