USD/CNH options market has shed bearish bias

The USD/CNH pair has likely bottomed out at 6.7373 (Jan. 11 low), options data indicates. 

The one-month 25 delta risk reversals (CNH1MRR) are currently trading near zero, representing a neutral bias, having hit a multi-month low of -0.55 on Jan. 10. 

The quick recovery from -0.55 to near zero represents a sharp drop in demand or the implied volatility premium for put options (bearish bets). 

Put simply, investors are unwinding bets initiated to position for strength in the Chinese yuan. 

CNH1MRR