#USDCNH @ 6.93819 picks up bids to reverse the previous day’s pullback from six-week high., @nehcap view: Gradual upside expected (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]

• USD/CNH picks up bids to reverse the previous day’s pullback from six-week high.
• China Industrial Profits YTD improved to -21.4% through March versus -22.9% prior.
• RSI, MACD conditions challenge the offshore Chinese Yuan buyers but fortnight-old bullish channel keeps them hopeful.

The pair currently trades last at 6.93819.

The previous day high was 6.9458 while the previous day low was 6.924. The daily 38.2% Fib levels comes at 6.9324, expected to provide support. Similarly, the daily 61.8% fib level is at 6.9375, expected to provide support.

USD/CNH grinds higher past 6.9400, around 6.9430 by the press time, as the pair traders struggle to justify improvement in China’s Industrial Profits during early Thursday.

In doing so, the offshore Chinese Yuan (CNH) pair might be taking clues from the cautious markets ahead of the US first quarter (Q1) Gross Domestic Product (GDP), expected to ease to 2.0% on an annualized basis versus 2.6% prior

That said, China’s Industrial Profits during the January-March period improved to -21.4% YoY versus -22.9% prior.

Technically, USD/CNH remains inside a two-week-old ascending trend channel, currently between 6.9650 and 6.9180.

The quote’s latest rebound from the 61.8% Fibonacci retracement level of March 08-23 downside, near 6.9250 by the press time, appears to keep the offshore Chinese Yuan bears hopeful.

However, nearly overbought RSI and a looming bear cross on the MACD suggest limited upside room for the USD/CNH pair.

It’s worth noting that multiple levels around 6.9100 and the 6.9000 round figure can challenge the USD/CNH bears past 6.9180.

On the contrary, an upside break of 6.9650 won’t hesitate to challenge the yearly high marked in March at around 6.9970.

Trend: Gradual upside expected

Technical Levels: Supports and Resistances

USDCNH currently trading at 6.942 at the time of writing. Pair opened at 6.9404 and is trading with a change of 0.02% % .

The pair is trading above its 20 Daily moving average @ 6.8893, above its 50 Daily moving average @ 6.8978 , above its 100 Daily moving average @ 6.8775 and below its 200 Daily moving average @ 6.9518

The previous day high was 6.9458 while the previous day low was 6.924. The daily 38.2% Fib levels comes at 6.9324, expected to provide support. Similarly, the daily 61.8% fib level is at 6.9375, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 6.9277, 6.915, 6.9059
• Pivot resistance is noted at 6.9495, 6.9586, 6.9713

[/s2If]
Nehcap Expert Advisor
The NEHCAP MT4 EA is high quality professional trading system geared to generate returns without using GRID or martingales. Each trade has strict risk per trade parameter. The pairs under management include EURUSD, GBPUSD, AUDCAD, AUDNZD,GBPAUD, EURAUD, EURCAD, CHFJPY and many more.
The system is trading live: LIVE ACCOUNT TRACKING
You can run it free. Apply for a free trial and track our account. Buy the system or use profit share mechanism to generate returns on your MT4.
Join Our Telegram Group