FxWirePro: USD/CNY hovers near one-month low, faces 23.6%fib support

USD/CNY hovered near one month low on Thursday as the pair was weighed down by renewed U.S.-Iran tensions . The U.S. launched fresh strikes against Irans coastal military infrastructure and reimposed a naval blockade...

• USD/CNY hovered near one month low on Thursday as the pair was weighed down by renewed U.S.-Iran tensions . • The U.S. launched fresh strikes against Iran's coastal military infrastructure and reimposed a naval blockade of its ports.

• Prior to the market opening, the People's Bank of China (PBOC) set the midpoint rate at 6.7909 per dollar, a more than three-year high, and 1 pip firmer than the previous setting. •

The central bank has been setting a weaker-than-expected midpoint guidance rate since November 2025, a move investors interpreted as an attempt to keep the market stable and prevent excess yuan gains. •Separately, investors are turning their focus to the upcoming Politburo meeting, where policymakers are expected to set the economic policy agenda for the second half of the year. •Markets, however, largely view the recent softer-than-expected second-quarter economic data as insufficient to prompt broad-based policy easing.

• Immediate resistance is located at 6.775(Daily high), any close above will push the pair towards 6.789(38.2%fib) • Support is seen at 6.755(23.6%fib) and break below could take the pair towards 6.749 (Lower BB). Recommendation: Good to sell around 6.770, with stop loss of 6.830 and target price of 6.720