Chinese Yuan (CN¥) Strengthens Against US Dollar ($)(CNYUSD)

Chinese Yuan (CN¥) Strengthens Against US Dollar ($)(CNYUSD)

China’s yuan firms on stronger fixing, Q2 GDP data shrugged off
China’s yuan, which has firmed against the U.S. dollar the past five sessions, strengthened again on Monday after the central bank lifted its official guidance for the Chinese currency’s midpoint to an 8-1/2 month high.

The central parity rate of the Chinese currency renminbi, or the yuan, strengthened 212 basis points to 6.7562 against the US dollar Monday, according to the China Foreign Exchange Trade System. In China’s spot foreign exchange market, the yuan is allowed to rise or fall by 2 percent from the central parity rate each trading day. The central parity rate of the yuan against the US dollar is based on a weighted average of prices offered by market makers before the opening of the interbank market each business day.

Technical Analysis

Overall, the bias in prices is: Sideways.

Short term: Prices are stalling.

Intermediate term: Prices are ranging.

By the way, prices are vulnerable to a correction towards 6.82.

The projected upper bound is: 6.80.

The projected lower bound is: 6.74.

The projected closing price is: 6.77.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 23 white candles and 25 black candles for a net of 2 black candles.

A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).

Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 18.6290. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a sell 3 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 30.93. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 22 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -142.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 10 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 1 period(s) ago.

Rex Takasugi – TD Profile

FOREX CNY= closed down -0.002 at 6.772. Volume was 74% below average (consolidating) and Bollinger Bands were 25% wider than normal.

Open   High     Low     Close    Volume
6.774   6.774    6.764   6.772    626

Technical Outlook
Short Term:               Oversold
Intermediate Term: Bullish
Long Term:                Bearish

Moving Averages: 10-period  50-period  200-period
Close:                       6.79            6.83            6.86
Volatility:                1                  3                  3
Volume:                   2,217          2,362         2,184

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX CNY= is currently 1.3% below its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of CNY= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on CNY= and have had this outlook for the last 5 periods. The security price has set a new 14-period low while our momentum oscillator has not. This is a bullish divergence.

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Ivy Heffernan

From Modeling To Economics; My name is Ivy Heffernan, and I am interested in a wide range of professions. Economics and politics at the age of 16 is easy when your father has a Ph.D in economics, i have been taught to put together technical analyst and stay up to date with the changing markets as well as what is happening in the political world. Modeling: Since a young age i have been fond of modeling, losing over 40.. kgs to achieve my goal at becoming a super model. I have found it to be a more beneficial experience than just looking pretty. It has opened up many doors to my future and has made me quite outgoing, bringing me to my next topic Journalism: I love Traveling and meeting new people, of course my mind always gets wrapped around business, so i decided to turn it into one. I go to events, restaurants, model parties, clubs ect.. to interview people on their businesses and then write an article all about it and the experience. Summary: I think being a well rounded individual on all topics is the most important thing to everyone, with the changing economies it's good to know that no matter what life throws at you, and no matter what job you are given, you'll always be capable.

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