USD/CNH may fall 189 - 274 pips

7.1335 is our pivot point.

Our preference

The downside prevails as long as 7.1335 is resistance.

Alternative scenario

The upside breakout of 7.1335, would call for 7.1479 and 7.1564.

Comment

The RSI is below its neutrality area at 50. The MACD is negative and below its signal line. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 7.1335 and 7.1391).

Supports and resistances

7.1564 **

7.1479 *

7.1335 **

7.1279

7.1215 last

7.1026

7.0941 **

7.0856 *

7.0771 **

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