FxWirePro: AUD/USD loses momentum but bullish setup remains

• AUD/USD   edged lower on Monday    as disappointing Chinese manufacturing data weighed on broader risk sentiment.

• China's factory activity in November contracted slightly as production growth came to a halt and new orders slowed, a private-sector survey showed on Monday.

The RatingDog China General Manufacturing Purchasing Managers' Index (PMI), compiled by S&P Global, dropped to 49.9 in November from 50.6 in October, missing analysts' expectations of 50.5 in a Reuters poll. The 50-mark separates growth from contraction.

• Australian dollar often traded as proxies for global risk  was sold earlier in November as tech stocks slid on doubts about sky-high artificial intelligence valuations, though they managed to find support from higher local yields as interest rate expectations diverged from the U.S..

• Looking ahead,investors will also be watching Australia’s GDP data on Wednesday, where expectations are centered on a 0.7% quarter-on-quarter rise.

• Immediate resistance is located at 0.6564(50%fib), any close above will push the pair towards 0.6586(Higher BB).

• Support is seen at 0.6506(38.2%fib) and break below could take the pair towards 0.6471(Oct 21st low).

 Recommendation: Good to buy  around 0.6530, with stop loss of 0.6480 and target price of 0.6600