Chart USD/CNH Update: Lower in consolidation from the 7.1500/7.1650 resistance
Rejection from the 7.1650 resistance see prices settling back to unwind the overbought daily studies
| Level | Imp | Comment | Level | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 7.2000 | * | figure | S1 | 7.1160 | * | 24 Oct low | |
| R3 | 7.1945 | * | 7 Aug high | S2 | 7.1080/00 | ** | 21 Oct low, congestion | |
| R2 | 7.1810 | * | 61.8% Jul/Sep fall | S3 | 7.0840 | * | 5 Aug low | |
| R1 | 7.1650 | * | May low | S4 | 7.0700 | * | 30 Aug low |
Asterisk denotes strength of level
06:30 GMT - No follow-through on break of the 7.1500 congestion and rejection from the 7.1650 resistance see prices settling back to unwind the overbought daily studies. However, the bullish momentum keep focus on the upside and see room to further extend gains to retrace losses from the 7.3110, June YTD high. Above the 7.1500/7.1650 resistance will see room to the 7.1810, 61.8% Fibonacci retracement. Meanwhile, support is raised to the 7.1160 and this extend to the 7.1080/00 area. Would take break of the latter to fade the upside pressure and turn focus lower to retrace rally from the 6.9710, September YTD low.