Chart USD/CNH Update: Focus on the 7.0885/7.0850 lows
Sharply lower following break of the 7.1160 support and losses through the 7.1000 level expose the 7.0885 and 7.0850, October/September lows to retest
| Level | Imp | Comment | Level | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 7.1500/35 | ** | congestion, Oct high | S1 | 7.0885 | * | Oct low | |
| R3 | 7.1385 | * | 5 Nov high | S2 | 7.0850 | ** | 17 Sep YTD low | |
| R2 | 7.1160 | * | Aug low, congestion | S3 | 7.0800 | * | 76.4% Sep 2024/Apr rally | |
| R1 | 7.1000 | figure | S4 | 7.0600 | * | congestion |
Asterisk denotes strength of level
02:50 GMT - Sharply lower following break of the 7.1160 support and losses through the 7.1000 level expose the 7.0885 and 7.0850, October/September lows to retest. Oversold intraday and daily studies suggest reaction here likely but consolidation expected to give way to selling pressure later. Break will extend the April losses to further retrace gains from the September 2024 low and see room the 7.0800 level and 76.4% Fibonacci level. Meanwhile, resistance is lowered to the 7.1000 level and this extend to the 7.1160 August low, now expected to cap and limit bounce attempt.