USD/CNH: Failure to hold 6.3300 to clear the way towards 6.2940 – SocGen

USD/CNH returns below 6.35. If the pair breaks below 6.33, the downtrend could extend as low as 6.2940, in the opinion of analysts at Société Générale.

Break above 6.4000 needed to extend the rebound

“Daily MACD has been posting positive divergence however price action has so far not affirmed a bullish breakout. USD/CNH has to cross beyond a multi-month channel at 6.4000 for confirming an extended rebound.”

“Failure to hold 6.3300 would mean continuation in downtrend towards next projections at 6.2940.” 

“Immediate resistance is located at 6.3670.”