• AUD/USD eased on Monday as Australian dollar weighed down by concerns over China's economy and weak commodity prices.
• Oil prices dropped by around 2% on Monday after China's stimulus plan failed to meet expectations, leaving investors disappointed in the outlook for fuel demand growth in the world's second-largest oil consumer.
• Looking ahead, key events this week include the U.S. CPI report, Australia’s jobs data, and China’s monthly activity indicators.
•Technical signals are strongly bearish as RSI is at 37, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 0.6635(38.2%fib), any close above will push the pair towards 0.695 (50%fib).
• Support is seen at 0.6561(23.6%fib) and break below could take the pair towards 0.6522(Lower BB).
Recommendation: Good to sell around 0.6580, with stop loss of 0.6660 and target price of 0.6500
