- USD/CNH remains indecisive between 100 and 200 SMAs.
- Bearish MACD, failures to cross two-month-old falling trend line favor bears.
- Heavy Fedspeak, Evergrande news awaited for fresh impulse.
USD/CNH fades bounce off weekly low around $6.4620 during early Friday.
In doing so, the offshore Chinese currency (CNH) pair remains trapped inside an envelope comprising 100 and 200-SMA. It’s worth noting that the bearish MACD and sustained trading below a descending resistance line from late July keep sellers hopeful.
Given the brighter odds for the sellers, the pair’s one more attempt to refresh the monthly low of $6.4244 can’t be ruled out. However, the 100-SMA level of $6.4540 needs to be broken for that.
It’s worth noting that the USD/CNH bulls have multiple hurdles to cross, other than the 200-SMA level of $6.4665, making it harder to return.
To name a few resistances, 50% Fibonacci retracement of July-September downside, near $6.4770, follows the 200-SMA hurdle while preceding the stated resistance line figures of $6.4845. Additionally, 61.8% Fibonacci retracement level of $6.4890 and the $6.4900 act as extra filters to the north.
USD/CNH: Four-hour chart
Trend: Further weakness expected
Additional important levels
|Today last price||6.4622|
|Today Daily Change||0.0002|
|Today Daily Change %||0.00%|
|Today daily open||6.462|
|Previous Daily High||6.4748|
|Previous Daily Low||6.4525|
|Previous Weekly High||6.4738|
|Previous Weekly Low||6.425|
|Previous Monthly High||6.5102|
|Previous Monthly Low||6.4473|
|Daily Fibonacci 38.2%||6.461|
|Daily Fibonacci 61.8%||6.4663|
|Daily Pivot Point S1||6.4515|
|Daily Pivot Point S2||6.4409|
|Daily Pivot Point S3||6.4293|
|Daily Pivot Point R1||6.4737|
|Daily Pivot Point R2||6.4853|
|Daily Pivot Point R3||6.4959|
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