AUD/USD extends post-RBA slide, hits fresh multi-week lows near 200-DMA

The selling pressure around the Australian Dollar remains unabated, with the AUD/USD pair dropping to fresh multi-week lows and fast approaching the key 200-day SMA support near mid-0.7500s.

Spot failed to benefit from Australian trade surplus data and ran through fresh offers after RBA in its latest monetary policy decision maintained status quo and left interest rates unchanged. Although the decision was on expected line but the accompanying statement revealed central bank's neutral bias amid concerned over economic risks for the Chinese economy. A dovish tilt for the Chinese economy prompted investors to dump the China-proxy, Australian Dollar. 

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The coupled with a slightly negative tone surrounding commodity space, especially copper, further weighed on commodity-linked currencies - like Aussie, and aggravated the selling pressure. 

Meanwhile, possibilities of some stops being triggered on a decisive break below 0.7600-0.7590 strong horizontal support also seems to have collaborated to the heavily offered tone surrounding the major. 

Today's US economic docket features the release of trade balance and factory orders but seems unlikely to provide any respite for the Aussie bulls. 

Technical levels to watch

A follow through selling pressure below mid-0.7500s (200-day SMA) would turn the pair vulnerable to head back towards testing the key 0.7500 psychological mark ahead of 0.7475 horizontal support. On the upside, 0.7590-0.7600 region now becomes immediate resistance, which if cleared could lift the pair back towards 50-day SMA hurdle near 0.7630 region.