USD/CNH may rise 197 - 288 pips

Our pivot point stands at 7.0845.

Our preference

The upside prevails as long as 7.0845 is support.

Alternative scenario

The downside breakout of 7.0845 would call for 7.0691 and 7.0600.

Comment

The RSI is above its neutrality area at 50. The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 7.0926 and 7.0844).

Supports and resistances

7.1445 **

7.1354 *

7.1262 **

7.1171

7.0974 last

7.0905

7.0845 **

7.0691 *

7.0600 **

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