FXStreet reports that FX Strategists at UOB Group note that the selling pressure in USD/CNH remains well in place for the time being.

24-hour view: “Yesterday, we held the view that USD ‘could dip below 6.4850 but the next major support at 6.4700 is unlikely to come under threat’. We highlighted that ‘there is another minor support at 6.4800’. USD subsequently dropped to 6.4802 before rebounding. Downward pressure appears to have eased and for today, USD is likely to trade sideways between 6.4830 and 6.5030.”

Next 1-3 weeks: “USD broke 6.4850 yesterday and dropped to 6.4802. Despite the breach of 6.4850, downward momentum has not improved by much. That said, the risk is still for a lower USD but any weakness is expected to encounter solid support at 6.4700. O the upside, a breach of 6.5200 (no change in ‘strong resistance’ level) would indicate that the weakness in USD that started more than a week ago (see annotations in the chart below) has come to an end.”