This Barron's article seems logical to me. It says that the decline in the yuan is due to a reduction in the Chinese government's support for a premium to free market exchange rates. This acute event created outflows of currency which outpaced the inflows. The inflows should continue and I agree with the researchers that this outflow will settle down. This combination would return to an appreciation of the yuan. I rate CNY a "buy".
Disclosure: The author is long CNY, UUP.