USD/CNH may fall 197 - 293 pips

Our pivot point is at 7.1474.

Our preference

Under pressure below 7.1474.

Alternative scenario

Above 7.1474, look for 7.1636 and 7.1732.

Comment

The RSI is below 50. The MACD is positive and below its signal line. The MACD must penetrate its zero line to expect further downside. Moreover, the price stands below its 20 and 50 period moving average (respectively at 7.1337 and 7.1340).

Supports and resistances

7.1732 **

7.1636 *

7.1474 **

7.1411

7.1333 last

7.1136

7.1040 **

7.0944 *

7.0848 **

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