AUD/USD Has Signaled a 'Bearish' Changing Trend This Week?

<p>&nbsp;Chinese economic data published in this morning's Asian session opened trading earlier this week with somewhat mixed readings.</p><p><br /></p><p>China's economic growth in the second quarter grew at 6.3%, up from 4.5% previously, but fell short of expectations of 7.1%.</p><p><br /></p><p>Industrial production posted encouraging numbers, but retail sales fell less than forecast in June.</p><p><br /></p><p>Commodity currencies including the Australian dollar and the New Zealand dollar showed a decline in the Asian trading session after being affected by the release of the data as China is their largest trading partner.</p><p><br /></p><p>As can be seen on the chart of the AUD/USD currency pair, the price is seen continuing to decline at the close of trading at the end of last week.</p><p><br /></p><p>In retrospect, last week saw a significant surge in prices following a significant depreciation of the US dollar after inflation data was scrutinized.</p><p><br /></p><p>The price managed to jump up to the 0.69000 resistance zone, but at the end of the week the increase did not continue, rather the price slightly retreated back down.</p><p><br /></p><p><br /></p><p>Resuming trading earlier this week, the price continued its decline which has moved below the Moving Average 50 (MA50) barrier level on the 1-hour time frame on the AUD/USD chart warning investors of a possible trend change.</p><p><br /></p><p>If the decline continues lower in the following sessions, the price will stop at around 0.67500 before testing the RBS (resistance become support) zone of 0.67000.</p><p><br /></p><p>However, if the price manages to bounce back, the MA50 barrier will try to be overcome before the 0.69000 resistance zone is once again tested.</p><p><br /></p><p>If this week the resistance is successfully broken, the price will record the latest 5-month high level with the latest target to aim at around 0.7000.</p><p><br /></p><p>Investors will also be looking forward to the release of Australian jobs data this week which will drive the direction of the Aussie dollar.</p>