The USD/CNH has lost traction after he was unable to hold his 50-DMA and is now trading down the key support of March, with the inability of the couple to recover 7.30, indicating an additional negative risk of 7.14 and 7.10, notes Société Généra FX analysts.
Resistance 7.30 to limit the return of the key
“The USD/CNH stood last month near 7.43 with strong resistance and quickly gave up the 50-DMA. Now it has dipped the lower lower low in March, marking the momentum.”
“The couple has formed a low low in the meantime 7.18. Short -term collision cannot be excluded, but the inability to overcome last week that high at 7.30 can cause a downward trend. The following potential goals can be located on 7.14 and 7.10 projections.
