USD/CNH Price Analysis: Sellers remain hopeful unless crossing 6.4810

USD/CNH rebounds from three-week lows but keeps the key trend line breakdown.
100-DMA, 38.2% Fibonacci retracement restricts immediate downside.
Bearish MACD joins support break to favor sellers.

Anil Panchal FXStreet

USD/CNH snaps a three-week downtrend, up 0.12% on a day around 6.4775-80 ahead of Wednesday’s European session.

In doing so, the offshore Chinese currency (CNH) pair aims to regain its place above the previous support line from June 10. However, bearish MACD and sustained break of the key trend line support keep the sellers hopeful.

Hence, a clear upside break of 6.4810 becomes necessary for the USD/CNH buyers to retake controls.

Following that, the monthly peak around 6.5100 and July’s top surrounding 6.5290 will gain the market’s attention.

Meanwhile, sellers also have a tough task breaking a convergence of 100-DMA and 38.2% Fibonacci retracement of May–July upside, around 6.4620-15.

Also acting as a downside filter is the last month’s low near 6.4500, a break of which will direct the quote further south towards the 50% and 61.8% Fibonacci retracement levels, respectively around 6.4400 and 6.4200.

USD/CNH: Daily chart

Trend: Pullback expected

Additional important levels

Overview
Today last price	6.4774
Today Daily Change	0.0078
Today Daily Change %	0.12%
Today daily open	6.4696

Trends
Daily SMA20	6.4773
Daily SMA50	6.475
Daily SMA100	6.4627
Daily SMA200	6.4823

Levels
Previous Daily High	6.4856
Previous Daily Low	6.4654
Previous Weekly High	6.5102
Previous Weekly Low	6.4738
Previous Monthly High	6.5286
Previous Monthly Low	6.4508
Daily Fibonacci 38.2%	6.4731
Daily Fibonacci 61.8%	6.4779
Daily Pivot Point S1	6.4615
Daily Pivot Point S2	6.4533
Daily Pivot Point S3	6.4412
Daily Pivot Point R1	6.4818
Daily Pivot Point R2	6.4938
Daily Pivot Point R3	6.5021

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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