Chart USD/CNH Update: Room for lower
Saw break of the 6.7150 August low to reach fresh year low at 6.7050 last Friday
| Level | Imp | Comment | Level | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 6.7630 | * | 21 Jul low | S1 | 6.7050 | * | 4 Sep YTD low | |
| R3 | 6.7540 | ** | Jun low | S2 | 6.7000 | ** | 2023 year low | |
| R2 | 6.7400 | * | 7 Aug low, congestion | S3 | 6.6670 | * | 15 Jun 2022 low | |
| R1 | 6.7330 | * | 28 Aug high | S4 | 6.6500 | * | congestion |
Asterisk denotes strength of level
04:40 GMT - Saw break of the 6.7150 August low to reach fresh year low at 6.7050 last Friday. Prices has since edged up from the latter to unwind oversold intraday studies but shallow bounce keep pressure firmly on the downside. Lower will extend losses from the April 2025 year high and see room for extension to support at 6.7000, 2023 year low. Lower still, will see scope to support at 6.6500 congestion area. Meanwhile, bullish divergence on weekly studies caution corrective bounce to retrace losses from the 6.9440 March swing high. Would take break above resistance at the 6.7330/6.7400 area to see scope to strong resistance at the 6.7540/6.7630 previous lows.