USD/CNH Price Analysis: Finds resistance near 7.3600 within an overbought territory

USD/CNH may correct downwards as the 14-day RSI indicates an overbought condition.
The primary barrier appears at the 7.3600, followed by the rising wedge’s upper slope around the 7.4000 level.
The pair may test primary support at the nine-day EMA of 7.3346 level.

Akhtar Faruqui FXStreet

The USD/CNH pair halts its five-day winning streak, trading around 7.3570 during the Asian hours on Monday. A review of the daily chart suggests that the magnitude of price movement within the rising wedge pattern is decreasing, signaling a pause in the bullish trend.

The 14-day Relative Strength Index (RSI), a crucial momentum indicator, is positioned slightly above the 70 level, indicating an overbought condition and the possibility of a downward correction in the near term.

The USD/CNH pair could find primary resistance at the psychological level of 7.3600 level, followed by the upper slope of the rising wedge around the 7.4000 level. A break above the rising wedge could strengthen the bullish bias and support the pair to continue its rally toward the major level of 7.5000.

On the downside, the USD/CNH pair may initially test the nine-day Exponential Moving Average (EMA) at 7.3346 level, followed by the rising wedge’s lower slope around 7.3070, followed by the psychological level of 7.3000. A break below this level could weaken the bullish momentum and put downward pressure on the pair to approach the next psychological support round 7.2000 level.

USD/CNH: Daily Chart

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

EUR/USD gathers traction, approaches 1.1800

EUR/USD manages to reverse Tuesday’s pullback, advancing to two-day highs near the 1.1800 hurdle in the latter part of Wednesday’s session. The pair’s decent uptick comes on the back of the modest retracement in the US Dollar, as investors continue to closely follow developments on the trade front and news from the White House in the wake of President Trump’s SOTU speech.

GBP/USD challenges multi-day highs near 1.3530

GBP/USD leaves behind the previous day’s decline and regains fresh upside traction on Wednesday, surpassing the 1.3500 barrier in a context of a modest decline in the Greenback and a generalised improved mood in the risk-linked space. Meanwhile, the US tariff narrative continues to dictate the mood among market participants after Presidet Trump’s SOTU speech failed to surprise markets.

Gold remains bid and close to $5,200

Gold buyers are returning to the fold on Wednesday, targeting the $5,200 area and possibly beyond, after Tuesday’s corrective dip from monthly highs. The rebound in the precious metal comes as the US Dollar loses traction, with Trump’s SOTU speech offering little fresh direction and AI-related nerves continuing to ease.

Crypto Today: Bitcoin, Ethereum, XRP test rebound strength as ETF inflows return

Bitcoin, Ethereum and Ripple are gaining traction at the time of writing on Wednesday, amid persistent market doldrums. The Crypto King is up over 2% intraday, trading above $65,000 from the day’s opening of $64,058.

Nvidia earnings to influence AI trade and broader market sentiment

For the last three years, Nvidia has been the engine of the AI boom, and now Wall Street is watching to see whether that momentum can keep going. High-growth stocks have been struggling to maintain their bullish trend in 2026.

Cosmos Hub Price Forecast: ATOM rebounds slightly, bearish outlook remains intact

Cosmos Hub (ATOM) price rebounds, trading above $2.05 at the time of writing on Wednesday, after undergoing a sharp correction since last week. Weakening on-chain and derivatives data support a bearish outlook, while technical analysis remains unfavorable.