AUD/USD consolidates the U-turn and bad Chinese data supply

Currently, AUD/USD is trading at 0.7567, down -0.02% on the day, having posted a daily high at 0.7573 and low at 0.7562.

AUD/USD is currently consolidating the highs that were scored overnight in the wake of investors coming out of dollar positions and stocks enabling the Aussie to recover from the sell-off from 0.7592 highs yesterday to 0.7506 lows. The weakness in the USD offered support to commodity prices, with additional gains in coal and iron ore prices this week, and in spite of weak Chinese data.

Wall Street drops to lowest levels in four weeks on China trade

AUD/USD dropped on the back of the Chinese data, showing a huge miss and decline in exports of 10% reviving concerns about the global economy once again and the health of China specifically as the world's second largest economy.

AUD/USD levels

With spot trading at 0.7567, we can see next resistance ahead at 0.7569 (Hourly 100 SMA), 0.7569 (Daily Open), 0.7573 (Daily High), 0.7584 (Yesterday's High) and 0.7594 (Hourly 200 SMA).Support below can be found at 0.7564 (Daily Classic PP), 0.7562 (Daily Low), 0.7558 (Hourly 20 EMA), 0.7539 (Weekly Low) and 0.7533 (Daily Classic S1). 

Analysts at Commerzbank suggested that only an unexpected rise and daily chart close above the 0.7710/31 September highs would introduce scope to the 0.7836 April high (not favoured).