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USDCH is edging back from its 50-dma.....>

CHINA YUAN
CHINA YUAN: USDCH is edging back from its 50-dma with the pair trading at 6.9167
last. A close above the 50-dma at 6.9239 would return the focus to the upside
and target down trendline resistance from the Nov 1 highs which comes in at
6.9377. Above here would return the focus to the 7.0 level.
- Friday's yuan weakness was largely a function of dollar strength, with the
yuan gaining vs the euro to send EURCNH back below the 7.90 level, testing down
trendline resistance-turned-support. 
- Weekend news flow included CSRC Chairman Liu Shiyu asserting greater efforts
to reform and open up the capital markets. 

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