The recent bearish trend of the USD/CNH has paused after finding support about 7.16, with a modest rebound now in development. However, the bullish potential can continue to be limited for now, since a break below 7.16 could extend the bearish trend, the Société currency analysts point out Générale.
The rupture below 7.16 could trigger a fall towards 7.10/7.08
“The fall of the USD/CNH has stagnated after having marked an interim minimum about 7.16 last month. A brief rebound is taking shape after this test. The pair is gradually approaching the recent maximum pivot and the 50 -day mobile mean about 7.26, which could be an interim resistance.”
“If the rebound fades near this obstacle, the correction phase could be resumed. A break below 7.16 could extend the bearish tendency towards the ascending trend line drawn from 2023 in 7.10/7,08.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
