FX_IDC:USDCNY   U.S. Dollar / Chinese Yuan
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2
Strong downtrend...but possibly forming support. Price tried to break top trendline of channel down and was rejected. Before downtrend got some energy, price was making it to upper bollinger band set on an 80 MA. Now having struggling to make it to middle bollinger band and has not made it to the MA in a while

Bullish case: It has broken up and out of the falling wedge and possibly forming support. Falling wedges can be bullish at the bottom. The trendlines of a falling wedge in a downtrend slope in the direction of the trend and converge at the apex. In an uptrend, a falling wedge slopes countertrend but can also be bullish if price breaks up and out of the falling wedge ..

Bearish case: Downtrend and has not broken upper trendline. Price was rejected at attempt to break upper trendline on first attempt, although red candle did not engulf the green candle. Marubozo bullish green candle followed by a red candle of same size taking the gains away from previous trading day.


No recommendation

Comment: Both the green and the red candles from last 2 trading days have virtually shaven heads..the battle may be beginning (o: