Weekly Chart USD/CNH: Consolidating, scope for bounce

Steadied at the 6.7150 August fresh year low as prices consolidate losses from the June swing high and unwind oversold daily studies.

However, bearish structure from the 6.9440 March high keep pressure on the downside to extend losses within the 6-month wedge pattern. Break of the 6.7150 low will see room for extension to the 6.7000 figure and the 2023 year low and where reaction can be expected. Break here, however, will the the bearish trend from the April 2025 year high and see room for extension to the 6.6800/6.6500 congestion area. 

However, bullish divergence on weekly studies caution corrective bounce resistance starting at 6.7400 congestion and extending to the 6.7540/6.7630, June and mid-July lows. Gains above the latter will fade the downside pressure and see room for stronger bounce to retrace losses from th 6.9440 March high towards resistance at 6.8000/6.8200 congestion and June high. Higher still, will see scope to strong resistance at 6.8500, late-April high.