USD/CNH may rise 199 - 291 pips

Our pivot point stands at 7.1260.

Our preference

As long as 7.1260 is support look for 7.1674.

Alternative scenario

The downside breakout of 7.1260 would call for 7.1105 and 7.1013.

Comment

The RSI is above its neutrality area at 50. The MACD is positive and below its signal line. The pair could retrace. Moreover, the price is above its 20 and 50 period moving average (respectively at 7.1381 and 7.1358).

Supports and resistances

7.1858 **

7.1766 *

7.1674 **

7.1582

7.1383 last

7.1320

7.1260 **

7.1105 *

7.1013 **

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