Chinese manufacturing preview - what to expect in AUD/USD?

AUD/USD is on the bid ahead of the Manufacturing data due today fro the Chinese economy.  

AUD/USD has been better bid since the 0.7420 lows of last week's business on the back of some shocking GDP data in the US economy and broadly weaker US dollar. However, the Chinese data could be heavily traded number for the Aussie due to the RBA that is tomorrow and the relevance the Chinese economy could have to that 'close-call' outcome from the Central Bank's meeting tomorrow.

 China's manufacturing PMIs, both the official and Caixin versions are released today, with the Caixin likely to catch more of the markets attention. " The former is expected at 50.0 and the latter at 48.8," explained analysts at Brown Brothers Harriman, adding, "These will be the first snapshots of the Chinese economy in July.  For now, markets seem comfortable with the outlook, but further slowing could be problematic."

AUD/USD levels to monitor

AUD/USD has strong support at the 50 day ma at 0.7435 with a key resistance target at 0.7675 recent highs and the 78.6% retracement at 0.7688. If the support breaks down below the 50 dma day the bears could push for the 200 day ma at 0.7326 with the 2016 support line at 0.7301. To the upside, resistance lies at 0.7688 and the 3 rd May high 0.7717.