5 Nov 2018
USD/CNH Technical Analysis: Defends key trendline support for a second day, China services PMI disappoints expectations
- The USD/CNH is currently trading at 6.9044, having clocked a low of 6.8842 earlier today.
- The pair printed daily lows below the trendline connecting the Aug. 27 low and Sept. 21 low on Friday but closed the day well above the diagonal support lined. The recovery from 6.8842 to 6.9044 seen today also kept the support line intact.
- So, it seems safe to say that bears have like run dry. As a result, a strong bounce to 10-day EMA of 6.9316 could be in the offing.
- Chinese stocks are down 0.40 percent in early trade. China services PMI for October came in at 50.8, missing the estimated print of 52.8 by a wide margin, indicating a short deceleration in the service sector activity. The disappointing data may further strengthen the bid tone around the USD/CNH pair.
Daily Chart
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Trend: Bullish
USD/CNH
Overview:
Last Price: 6.9085
Daily change: 1.1e+2 pips
Daily change: 0.152%
Daily Open: 6.898
Trends:
Daily SMA20: 6.9333
Daily SMA50: 6.8887
Daily SMA100: 6.8141
Daily SMA200: 6.5728
Levels:
Daily High: 6.9306
Daily Low: 6.8524
Weekly High: 6.9808
Weekly Low: 6.8524
Monthly High: 6.9798
Monthly Low: 6.8674
Daily Fibonacci 38.2%: 6.8823
Daily Fibonacci 61.8%: 6.9007
Daily Pivot Point S1: 6.8567
Daily Pivot Point S2: 6.8155
Daily Pivot Point S3: 6.7785
Daily Pivot Point R1: 6.9349
Daily Pivot Point R2: 6.9719
Daily Pivot Point R3: 7.0131