AUD/USD unfazed by wider China trade surplus

A wider China trade surplus (in CNY terms) has not impressed the AUD/USD pair, which remains in the red around 0.7395 levels. 

China trade data - Imports and Exports disappoint

China’s trade surplus in April rose to 262.3 billion in CNY terms, beating the estimated figure of CNY 197.2 billion. Exports rose 14.3% y/y, missing the estimate of 16.8%, while imports jumped 18.6% y/y, again missing the estimate of 29.3%. 

The upbeat data failed to lift the Aussie as the currency continues to suffer from the after effects of the horrible Australia building permits data released earlier today. 
The unwinding of the ‘Macron Trade’ and the resulting correction in gold may help the AUD, however, caution is still advised as markets may shift focus to the rapidly changing Fed policy, leading to broad based USD strength. 

AUD/USD Technical Levels

A break below 0.7368 (previous day’s low) would open doors for a sell-off to 0.7311 (Nov low) and 0.73 (zero levels). On the other hand, a break above 0.7434 (5-DMA) would expose 0.7465 (10-DMA) and 0.7491 (Apr 19 low).