USD/CNH may fall 211 - 309 pips

Our pivot point is at 7.1266.

Our preference

The downside prevails as long as 7.1266 is resistance.

Alternative scenario

The upside breakout of 7.1266, would call for 7.1429 and 7.1526.

Comment

The RSI is below its neutrality area at 50. The MACD is below its signal line and negative. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 7.1159 and 7.1184).

Supports and resistances

7.1526 **

7.1429 *

7.1266 **

7.1202

7.1124 last

7.0913

7.0815 **

7.0718 *

7.0621 **

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