FxWirePro: AUD/CHF retraces dips below cloud top, hawkish comments by RBA’s Kent buoy Aussie

AUD/CHF chart on Trading View used for analysis

• AUD/CHF is trading 0.27% higher on the day at 0.7142, up from session lows at 0.7101.
   
• Hawkish comments by RBA’s Kent also offered respite to Aussie bulls, pushing the pair higher.
   
• However, technical analysis supports a bearish bias. The pair has retraced break above 200-DMA, Stocks and RSI are biased lower.
   
• Bollinger Bands are widening in support of rising volatility and break below cloud will see resumption of weakness.
   
• Also, Chinese trade data over the weekend disappointed, with China's imports declining by a massive 25%, negative for the Aussie. 
   
• Fallout from the Sino-US trade war will further keep pressure on the Aussie.
   
• Focus now on Reserve Bank of Australia's latest bulletin (Thursday), more hawkish outing from the RBA on improving housing numbers could put a bid under the AUD.

Support levels - 0.7126 (50% Fib), 0.71, 0.7067 (61.8% Fib)

Resistance levels - 0.7185 (38.2% Fib), 0.72 (5-DMA)

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