USD/CNH has again created a long-tailed weekly candle – a sign of seller exhaustion near 6.67.
The pair, therefore, may find acceptance above the key 50-day MA hurdle next week. That move could pave the way for a rally to the double bottom neckline resistance of 6.75.
As of writing, the spot is trading at 6.7028, down 0.08 percent on the day, and the 50-day moving average is seen at 6.7206.
- As seen above, the pair has created a long-tailed doji this week, the third in eight weeks.
- Notably, the three long-tailed candles have printed lows near 6.67, a sign of bearish exhaustion.
- As a result, the spot could see a corrective bounce next week, more so, if the long-held 50-day MA resistance is breached.
- As seen above, the 50-day MA has capped upside at least four times in the last three weeks.
- Hence, acceptance above that key MA hurdle, currently at 6.7206, would validate the long-tailed candles seen on the weekly chart and open the doors to 6.7292 (double bottom neckline).
- The bullish case, however, would weaken if the spot finds acceptance below 6.67.
Trend: Cautiously bullish
|Today last price||6.7028|
|Today Daily Change||-0.0044|
|Today Daily Change %||-0.07|
|Today daily open||6.7074|
|Previous Daily High||6.7108|
|Previous Daily Low||6.677|
|Previous Weekly High||6.7304|
|Previous Weekly Low||6.7039|
|Previous Monthly High||6.7502|
|Previous Monthly Low||6.6704|
|Daily Fibonacci 38.2%||6.6979|
|Daily Fibonacci 61.8%||6.6899|
|Daily Pivot Point S1||6.686|
|Daily Pivot Point S2||6.6647|
|Daily Pivot Point S3||6.6523|
|Daily Pivot Point R1||6.7198|
|Daily Pivot Point R2||6.7321|
|Daily Pivot Point R3||6.7535|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.