The US Dollar could rise against the Chinese Yuan but is unlikely to surpass 7.3350. The currency is predicted to fluctuate between 7.2430 and 7.3700, with price actions being sharp but brief.
Yesterday’s predictions were that the US Dollar might dip below 7.2700, but it went up from 7.2780 to 7.3249, closing at 7.3096, an increase of 0.42%. There has been a slight rise in upward momentum, indicating the potential for a higher edge. Support levels are projected at 7.3020 and 7.2950, with resistance capped at 7.3350.
Mixed Outlook for One to Three Weeks
The one to three-week forecast highlights a mixed outlook due to recent volatile price movements. The currency is expected to remain within the 7.2430 and 7.3700 range for the time being, with no updates to this view currently available.
These projections carry risk, uncertainties, and are meant for informational use, requiring thorough, independent research before making financial decisions. The information may contain errors and is not a market recommendation. All investment risks and losses are the reader’s responsibility, with no guarantees provided on timeliness or accuracy.
In simple terms, the US Dollar strengthened slightly against the Chinese Yuan more than expected, despite earlier suggestions that it might drop below 7.2700. Instead, it climbed steadily, with the daily high reaching 7.3249 before closing a bit lower. That 0.42% gain on the day hints at buyers pushing the pair upwards, although still within a known range. There is now some evidence of positive momentum building, not strong but enough that we should take note.
Short-term levels are now clearer. We’re seeing immediate support around 7.3020 and again by 7.2950 — the latter would likely attract bids if price gets close. On the flip side, that 7.3350 resistance remains firm and looks like a natural place where upward moves will meet friction. We should continue tracking whether any attempts to push above this line fizzle out quickly or gain traction, as that’s where meaningful changes could start.
Price Activity and Market Strategy
Over the coming one to three weeks, the situation remains a bit unsettled. Price activity has been choppy, and this back-and-forth rhythm makes directional conviction difficult. The lower end of 7.2430 and the upper zone near 7.3700 still define the outer band of trading expectations. With no adjustments made to this channel, it stays our working assumption. It also means breakouts beyond this range are not currently anticipated, but that doesn’t remove the need to prepare for them just in case order flow kicks in one direction.
So, within this 127-point corridor, price may continue moving in bursts, with these sharp, often brief actions making it necessary to stay alert and reactive. The signals we’re receiving are subtle yet present. We must be ready to fade overextensions towards either boundary. Not necessarily combat the trend, but be less convinced that follow-through will occur once the edges are approached.
This is a time to remain flexible with short-duration positioning and avoid stacking high-conviction directional bets. It helps us avoid being caught off guard if another sudden move arises. Use the current range to scale into positions sensibly, with strict exit levels and a willingness to re-evaluate standard bias setups quickly.
In practice, this means avoiding chasing moves unless price is confirmed by volume and follows through on momentum. If price stalls near a level – particularly 7.3350 or 7.2430 – expect a pullback first before any extended travel. Markets have recently shown fast retracements after testing key zones, and we should neither ignore that nor assume it’s temporary.
There is no clear directional lead. Therefore, we plan for reaction rather than prediction. The last few days of movement still contain too much noise to allow strong confidence in extended trends. We carry forward with this awareness, using ranges, momentum changes, and resistance-tracking to guide stops and entries. Volatility is not absent, but it remains controlled — for now.
