USD/CNH stays underneath stress after surrendering its 50-DMA in Could, with bearish momentum persisting. The pair is testing key assist at 7.16, and a decisive break decrease may open the door to deeper losses towards 7.13 and seven.10, Société Générale’s FX analysts be aware.
The section of downtrend could lengthen
“USD/CNH gave up the 50-DMA in Could leading to a gentle decline. The down transfer tentatively stalled after carving out an interim low close to 7.16. The pair is now difficult this assist. If USD/CNH establishes under 7.16, the section of downtrend could lengthen.”
“Subsequent aims could possibly be situated at 7.13 and the ascending development line drawn since 2023 at 7.10/7.09. Cross above the MA at 7.20/7.21 is essential for confirming a short-term up transfer.”
