USD/CNH looks set for its next leg higher
Updated
USD/CNH remains in a soliud uptrend on the daily chart and, after consolidating around the June highs and forming a bullish hammer at 7.25, the swing low appears to be in. A bullish range expansion day broke the bearish resistance line, and bulls could seek to enter upon any pullbacks towards yesterday’s low for a tigher long entry.
The bias remians bullish above Last weej’s hammer low, and we could now be heade for 7.35 or the 2022 high.
A small bulish hammer has also formed on the 1-hour chart. A conservative target projected from the recent leg higher suggests 7.32 for bulls, whilst if we use the run up from 7.27 it projects a target atound 7.34.
The bias remians bullish above Last weej’s hammer low, and we could now be heade for 7.35 or the 2022 high.
A small bulish hammer has also formed on the 1-hour chart. A conservative target projected from the recent leg higher suggests 7.32 for bulls, whilst if we use the run up from 7.27 it projects a target atound 7.34.
Note
The lower bull-flag target was met pretty quickly, and after a pullback has now broken to a new cycle high to confirm trend continuation. It also appears the daily wants to continue higher in line with the bias.Trade closed: target reached
A textbook momentum trade on both the daily and 1-hour timeframe
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.