FxWirePro: AUD/USD knocked-off to fresh session lows on poor Chinese trade data

AUD/USD hit fresh session lows at 0.7417 on poor  Chinese trade data, but has pared some losses to currently trade at 0.7426.

• China trade balance for February in yuan terms came in at +209.5bn missing expectations at +341bn and compared to 402.20 in the previous month.
   
• Worse than expected Chinese exports and imports data raised worries over the country's external demand and also reinforced China slowdown fears.
   
• Asian markets turned negative, spurred risk-off across markets, which gave up higher yielding assets such as the AUD in favour of safe-havens.
   
• The pair is holding on to the 0.74 handle is above 200-DMA and the daily cloud. Major moving averages are also biased higher.
   
• But RSI has turned lower from overbought levels and Stochs are at overbought zone, so some caution advised.
   
• Our previous call (http://www.econotimes.com/FxWirePro-AUD-USD-takes-out-072-handle-after-upbeat-Australia-GDP-data-break-above-07250-could-see-further-upside-171062) has hit targets.

Recommendation: Book full profits, we will wait for correction to run its course to enter longs again.