USDCNY - Weekly - Very interesting...
What other better currency pair to observe during these unnecessary tensions, between the world's two largest economies, then USDCNY.
We are close to the August 2015 important area at around 6.20, when China devalued its currency, which led to a huge spike higher, moving the pair from around 6.20 to 6.96 area against the US Dollar. This move higher took almost one and half years to complete. Since January 2017 the pair was gradually declining and it is almost back at the same level, where it was before August 2015.
Currently, USDCNY is within a small range, but that could change soon, due to the political unrest between the two countries.
Watch the levels carefully, take a position you think is best and don't forget your stops!
We are close to the August 2015 important area at around 6.20, when China devalued its currency, which led to a huge spike higher, moving the pair from around 6.20 to 6.96 area against the US Dollar. This move higher took almost one and half years to complete. Since January 2017 the pair was gradually declining and it is almost back at the same level, where it was before August 2015.
Currently, USDCNY is within a small range, but that could change soon, due to the political unrest between the two countries.
Watch the levels carefully, take a position you think is best and don't forget your stops!