Chart USD/CNH Update: Mixed studies highlight cautious trade
Little change, as prices extend cautious trade above congestion support at 6.7000
| Level | Imp | Comment | Level | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 6.7400 | * | 7 Aug low, congestion | S1 | 6.7000 | * | congestion | |
| R3 | 6.7330 | * | 28 Aug (w) high | S2 | 6.6910 | ** | 21 Sep YTD low | |
| R2 | 6.7260 | * | 28 Sep high | S3 | 6.6700 | ** | 2023 year low | |
| R1 | 6.7200 | * | congestion | S4 | 6.6500 | * | congestion |
Asterisk denotes strength of level
16:40 BST - Little change, as prices extend cautious trade above congestion support at 6.7000. Intraday studies are rising, suggesting room for a minor bounce. But unwinding overbought daily stochastics and a tick lower in the daily Tension Indicator should limit scope in renewed selling interest/consolidation beneath resistance within congestion around 6.7200 and the 6.7260 high of 28 September.
Meanwhile, support remains at 6.7000. A close beneath here will open up critical support at the 6.6910 current year low 21 September, where improving weekly charts should prompt renewed buying interest. A close beneath here, if seen, will turn sentiment negative and extend broad losses towards the 6.6700 low of 2023.