USDCNH: low order

USD/RMB remained oscillating around 6.78433, and the onshore RMB and offshore RMB/USD exchange rates both rose above "6.8" during the session. The central parity rate of the RMB against the U.S. dollar has risen for five consecutive years since 2023. The current round of RMB appreciation will begin in November 2022. The exchange rate of the onshore renminbi against the U.S. dollar has strengthened from a low of 7.328 on November 1 to the current 6.7592, with a cumulative increase of more than 5,600 basis points during the period.

Brief technical analysis:

Looking at the 4-hour chart: after the market’s short momentum maintained a downward trend, the low position and narrow range were weak, the market’s short sentiment remained, the MACD index was in the short position, and the RSI index was hovering in a narrow range in the short position;

Long-short turning point: 6.78860

Suppression: 6.80390, 6.81874

Support: 6.76866, 6.75454

Trading strategy: bearish below 6.78860, target 6.76866, 6.75454

Alternative strategy: Bullish above 6.78860, target 6.80390, 6.81874