Home USD/CNH to test the 6.46 support zone – Standard Chartered
FXStreet News

USD/CNH to test the 6.46 support zone – Standard Chartered

Economists at Standard Chartered believe the USD/CNH pair has further scope to fall, with levels around 6.46 offering the next major technical support.

Key quotes

“USD/CNH continues to track lower from its May peak around 7.200 and has some further scope to fall, in our view. We expect significant technical support around the 6.450-6.470 region could be tested soon, but that this level may hold as the pair treads water awaiting the incoming Biden administration.” 

“Recent comments from Biden suggest that nothing much will change for US-China relations initially, and we anticipate stability would be a preferred approach from the PBoC.”

“We expect initial resistance around 6.680 in the event of a broad USD corrective bounce. A break below strong support at 6.450 would open an extension to 6.380.”

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.