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  • USD/CNH’s sideways action since Feb. 25 has brought the pair very close to the resistance of the trendline trending south from Nov. 30 and Dec.21 highs.
  • As of writing, that trendline resistance is located at 6.7183. Further, the 50-day moving average (MA), which has proved a tough nut to crack at least twice in the last four weeks, is also located at 6.7174.
  • A convincing break above the 6.7174-6.7183 resistance range would validate seller exhaustion signaled by the multiple long-tailed weekly candles and open the doors to 6.8085 (February high).
  • As of writing, the USD/CNH pair is trading at 6.7133 with the 14-day relative strength index (RSI) located at 50.

Daily chart

Trend: Bullish above key falling trendline

Pivot points