AUD/USD keeps gains despite weak China trade data
Trade data – A big miss on expectations
China’s trade balance for Sept, in Yuan terms, came in at CNY+193.00 bn vs +266.05 bn expected and +286.50 bn last. Exports came at 9.0% y/y vs 10.9% expected, while imports rose 19.5% y/y vs 16.5% expected
China customs, while commenting on the trade figures, said “the Q4 trade still faces unstable, uncertain factors.”
Aussie still remains on the front foot, reportedly due to big beat on imports figure. However, the gains could be erased if the details reveal a drop in imports of industrial metals.
AUD/USD Technical Outlook
FXStreet Chief Analyst Valeria Bednarik writes, “the short term picture presents a modest bullish stance, as the price kept held near the mentioned daily high at the end of the day, having advanced above a bullish 20 SMA, and with technical indicators aiming higher within positive territory, after a modest downward correction. Beyond the mentioned daily high the pair has scope to extend towards the 0.7900 region where selling interest will likely reject any potential advance.