Ella 
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USD/CNH came as a surprise, down 0.81% (7.1736 in NY close) (we expect USD/CNH to trade in a range). While USD/CNH is heavily oversold, its weakness has not stabilized. Given the oversold conditions, USD/CNH is unlikely to break the main support at 7.1500. On the upside, if USD/CNH breaks 7.2200 (minor resistance at 7.2000), it would suggest USD weakness has stabilized.
Outlook for the next 1-3 weeks: Our latest view is from two days ago (July 19, when the price was 7.1950). As we’ve highlighted, USD/CNH is unlikely to weaken further after falling sharply over the past week. For now, USD/CNH is likely to trade between 7.1500 and 7.2500.
