AUD/USD better bid on Chinese news, can bulls remain above key resistance?

Currently, AUD/USD is trading at 0.7472, up 0.09% on the day, having posted a daily high at 0.7478 and low at 0.7457.

Most recent:

• PBOC set the USD/CNY fix at 6.8633 (vs. Friday at 6.8698).

AUD/USD rallied on the Chinese data awaiting the next Aussie data middle of the hour. China's data for May Non-manufacturing PMI arrived 54.5 vs prior 54.0 and Manufacturing PMI for the same month came in at 51.2  vs expected 51.0, prior 51.2. In respect to the Chinese correlation here, this data will support the view that the uptrend in steel prices will offer a potential for a recovery in iron ore prices and also be supportive of the Aussie. 

Meanwhile, the dollar is weak and the Aussie is taking advantage with additional prospects further out that risk could remain in favor of the Aussie, especially is there is resilience in US equity markets to the distractions of the Trump administration, as suggested by analysts at Westpac earlier. They also explained that the rebound in Australian job creation keeps RBA rate cut talk at bay. 

AUD/USD levels

AUD/USD eyes the 0.7480 level ahead of 0.7516 highs and the double top area from earlier last week. Te break of the 4 hourly 200 ema was significant on the 22nd though and the price is resuming in the positive tone while trading back above the same ema today. A close here would be positive and would be testing the 18th May descending resistance line from 0.775 area. to the downside, 0.7420, 0.7390 and 0.7320 are the key supports.