EUR/CNH may fall 144 - 244 pips

7.83 is our pivot point.

Our preference

Under pressure below 7.83.

Alternative scenario

The upside breakout of 7.83, would call for 7.85 and 7.85.

Comment

The RSI is below its neutrality area at 50. The MACD is positive and below its signal line. The MACD must penetrate its zero line to expect further downside. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 7.82 and 7.82). Finally, the EUR/CNH is trading below its lower Bollinger band (standing at 7.82).

Supports and resistances

7.85 **

7.85 *

7.83 **

7.83

7.81 last

7.80

7.79 **

7.78 *

7.77 **

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