USDCNH: Shorts plummet

Fundamental analysis:

The exchange rate between the US dollar and the RMB remained volatile at 7.17845. Yi Gang: Enhance the flexibility of the RMB exchange rate and keep the RMB exchange rate basically stable at a reasonable and balanced level. The offshore RMB rose by more than 800 points against the US dollar during the day, once breaking the 7.25 mark. According to www.chinamoney.com.cn, the onshore RMB rose nearly 600 points against the US dollar during the day, reaching a peak of 7.2422.

USD/RMB USDCNH - 4-hour K line chart shows:

Technical analysis:

The 4-hour chart shows that the power of short positions in the market has dropped rapidly, the short-term decline has not stopped, and the trend continues to move downward. The short positions in the market are shrouded in sentiment. The MACD index is in the short positions and continues to decline, while the RSI index is in the low positions in the short positions;

Empty turning point: 7.18736

Pressing: 7.20332, 7.22005

Support: 7.16264, 7.14734

Trading strategy: bearish under 7.18736, target 7.16264, 7.14734

Alternative strategy: 7.18736 upper bullish, target 7.20332, 7.22005