USD/CNH Technical Analysis: September 30, 2016
Chinese Yuan trades lower than USD when it comes to offshore trading because of the incoming holiday period in China. Thus, it is expected for the Yuan rates to increase both onshore and offshore interest rates.
A Morning star pattern showed with the support at 6.6500 trades at a short-term range between the support level at 6.6700 and resistance at 6.6860. The 50-day average continue to sustain the prices movement.
A move lower than 6.6700 is more likely to proceed lower at 6.6500 then to 6.6224 which circumstantially shows a long term trend going upward. The bullish trend could prolong when a break is seen above resistance at 6.6860 level or even higher than 6.7 handle.
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