Strong Chinese PMI helps AUD/USD to reclaim 0.7600 handle

The AUD/USD pair is seen building on to its gains above 50-day SMA and has now reclaimed 0.7600 handle despite of weaker Australian Services Index.

The Aussie benefitted from a slightly better-than-expected services PMI print from China, Australia's biggest trading partner. Moreover, a broadly weaker greenback helped the major to maintain its bid tone and head back towards Friday's swing highs touched in the aftermath of disappointing NFP print. 

From technical perspective, the pair is trading within striking distance of its immediate strong resistance near 0.7610-15 region and a follow through buying interest should open room for continuation of the upward trajectory. 

Technical levels to watch

On a sustained move above 0.7610-15 resistance, the pair seems to immediately aim towards 0.7655 resistance (August 23 high) before heading towards 0.7690 resistance area. Meanwhile on the downside, 0.7570-68 region (50-day SMA) now becomes immediate support to defend, which if broken should aim towards Friday's low support near 0.7535 level.