USDCNH is trying to hold above the long-term trend line (6.405) that started in early 2014. PBOC’s decision to not inject more cash and only roll over the existing medium-term loans, add more pressure to the downside. But technically both long-term trend and RMI indicator showing a possible reversal. If the price extends down moves further at the south of the trend line, USDCNH may resume the down move to the previous bottom, around 6.25. Otherwise, an upside reverse attempt may happen in the near future.
