• USD/CNH remains week and risks a drop to 6.7660 – UOB

Market news

15 September 2020

USD/CNH remains week and risks a drop to 6.7660 – UOB

FXStreet reports that USD/CNH keeps the negative outlook unaltered and could drop to the 6.7660 level in the next weeks.

Next 1-3 weeks: “Yesterday (14 Sep, spot at 6.8300), we highlighted that ‘as long as 6.8550 (‘strong resistance’ level previously at 6.8800) is intact, there is still a slim chance that USD could push lower towards the support at 6.8000’. However, the speed of the subsequent decline was not exactly expected as USD plummeted to 6.8057 before cracking 6.8000 just a while ago. The sudden surge in momentum indicates that the negative phase that started in mid-August has received a new lease of life. From here, the next level to focus on is at 6.7660 followed closely by 6.7500. Overall, the current negative phase is deemed as intact as long as 6.8300 is not taken out (‘strong resistance’ level was at 6.8550 yesterday).”

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