FxWirePro: AUD/CHF fails at 200-DMA, good to stay short on rallies

AUD/CHF chart on Trading View used for analysis

• AUD/CHF slumps lower for the 2nd straight session, trades 0.78% lower at 0.7094 at 1155 GMT.
   
• Data from China showed manufacturing activity gauge hit a 3-year low in Feb as export orders fell at the fastest pace since February 2009. 
   
• The official Purchasing Managers' Index (PMI) fell for the third straight month, dropping to 49.2 in February. 
   
• The pair has been rejected at 200-DMA and we see upside only on break above.
   
• RSI and Stochs are biased lower and price has slipped below major EMAs.
   
• We see weakness till daily cloud. Bearish invalidation on retrace above 200-DMA.

Support levels - 0.7076 (Feb 8 low), 0.7027 (daily cloud)

Resistance levels - 0.71, 0.7129 (55-EMA), 0.7193 (200-DMA)

Recommendation: Good to go short on rallies, SL: 0.7150, TP: 0.71/ 0.7030

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.