USDCNH: low volatility

USD/RMB remained oscillating around 6.87193, and the People's Bank of China released a report on the overall operation of the payment system in 2022. The report shows that in 2022, the domestic foreign currency payment system will handle a total of 4.7543 million transactions, with a transaction value of 2.53 trillion U.S. dollars (equivalent to approximately 17.15 trillion yuan in RMB), a year-on-year increase of 14.17% and 13.10%, respectively. The average daily processing business is 19,100 transactions, with an amount of 10.167 billion U.S. dollars (equivalent to about 68.892 billion yuan in RMB).

US dollar RMB USDCNH - the 4-hour K-line chart shows:

Looking at the 4-hour chart: the short-term lows fluctuate within a narrow range, and the market’s short-term sentiment begins to fluctuate slowly. In the short term, it will continue to move downward.

Resistance levels: 6.88801 6.89837

Support levels: 6.86208 6.85263

Trading strategy: bearish below 6.87703, target 6.86208 6.85263

Alternative strategy: Bullish above 6.87703, target 6.88801 6.89837