Chart USD/CNH Update: Extending gains
Higher opening above the 7.2500 level has seen follow-through to break the 7.2730 high to extend gains from September low
| Level | Imp | Comment | Level | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 7.3110 | ** | 3 Jul YTD high | S1 | 7.2500 | * | congestion | |
| R3 | 7.3000 | * | congestion | S2 | 7.2250 | * | 19 Nov low | |
| R2 | 7.2973 | * | 23 Jul high | S3 | 7.2125 | * | 13 Nov low | |
| R1 | 7.2800 | ** | congestion | S4 | 7.2000 | ** | figure, congestion |
Asterisk denotes strength of level
04:30 GMT - Higher opening above the 7.2500 level has seen follow-through to break the 7.2730 high to extend gains from September low. Nearby see the 7.2800 level now within reach and clearance here will open up the 7.3000 level then the 7.3110, July YTD high to retest. Overbought weekly studies suggest reaction at the latter likely. Meanwhile, support is raised to the 7.2500 congestion and this is now expected to underpin. Only below here will expose the strong support at the 7.2250 higher low to retest. Would take break of the latter to negate the bullish structure and turn focus lower to the 7.2125 support and the 7.2000 congestion.