USDCNH Technical Analysis

The Dollar started showing signs of strength against the Chinese Yuan on Wednesday and is now trading at 6.4612. As the Fed begins to show signs that it may begin to ease financial stimulus this year, investors are beginning to anticipate a possible rise in the Dollar. Investors will also be keeping an eye on the Initial Jobless Claims data. This is important data as the Fed is relying on employment data to guide its monetary policy. From a technical point of view, the USDCNH is starting to form a higher bottom than the previous one, which could signal a new momentum of bullish movement. If this higher bottom is confirmed, the USDCNH could rise to 6.5850 in a few days.