USD/CNH may fall 73 - 109 pips

7.2942 is our pivot point.

Our preference

As long as 7.2942 is resistance look for 7.2776.

Alternative scenario

Above 7.2942, look for 7.3002 and 7.3037.

Comment

The RSI is below 50. The MACD is positive and above its signal line. The break above the 50 area on the RSI would call for further upside. Moreover, the price stands above its 20 period moving average (7.2882) but below its 50 period moving average (7.2889).

Supports and resistances

7.3037 **

7.3002 *

7.2942 **

7.2919

7.2885 last

7.2812

7.2776 **

7.2741 *

7.2705 **

Number of asterisks represents the strength of support and resistance levels.