FxWirePro: AUD/USD shows minor pullback from multi-month highs, weak Aussie trade surplus and US-China tensions weigh

AUD/USD chart - Trading View 

AUD/USD was trading 0.12% lower on the day at 0.7790 at around 05:25 GMT, slipping lower from multi-month highs at 0.7820.

Data released earlier today showed Australia's trade surplus narrowed more-than-expected in November. 

Australia's trade surplus narrowed to A$ 5,022 million in November from October's $7,456 million and missed the projection of A$ 6,200 million. Exports rose 3% m/m, and imports rose by 10%. 

Meanwhile, Building Permits increased by 2.6% month-on-month in November, beating the estimate of 2.5% following October's 3.8% rise. Poor trade data overshadowed rise in Building permits.

Further, overnight chaos in the US capitol coupled with US-China tensions could keep risk assets depressed in the short-term. 

Major trend in the pair is bullish. Price action has broken above 110 month EMA and is on track to test 200 month MA.

Volatility is high, momentum with the bulls. Decisive break above 88.6% Fib to propel the pair higher. Bullish invalidation only below 200W MA.