USD/CNH Technical Analysis: Hits 1.5-month high, double bottom breakout on the daily chart

USD/CNH closed just above 6.7371 yesterday, confirming a double bottom bullish reversal on the daily chart and rose to 6.7497 earlier today, the highest level since Feb. 19. 

The breakout is backed by the ascending 5- and 10-day moving average (MAs) and a move above the 50-day hurdle, which is now flat lined (has shed bearish bias). Further, the 14-day relative strength index has moved into bullish territory above 50.00. 

The pair, therefore, could rise to 6.80 in the next day or two, as suggested by the double bottom breakout. That said, the bullish case would weaken if the spot falls back below the former resistance-turned-support of 6.7371 (March 8 high). As of writing, the pair is trading at 6.7408.

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Trend: Bullish