AUD/USD: bulls in charge in fundamentals, eyes 0.7580

AUD/USD has kept with the bid today after the disappointing ISM data from the US and has extended the overnight bid on the back of the positive looking Capex data.

The Institute of Supply Management (ISM) manufacturing activity index fell to 49.9 in August from 52.6 in July. This was significant given the recent Fed speak with the FOMC this month and tomorrow's nonfarm payrolls because a reading below the 50 threshold indicates that factory activity is contracting and expectations were for reading of 52.0.

However, the Aussie may not run away with it so soon until US data continues to prove poor elsewhere because the China Caixin PMI missed estimates as well to print at 50.00 and retail sales in Australia came at just 0% m/m vs 0.3% expected and 0.1% last. 0.7580 is next big level to the upside.

AUD/USD levels

With spot trading at 0.7558, we can see next resistance ahead at 0.7559 (Daily Classic R2), 0.7560 (Daily High), 0.7584 (Daily Classic R3), 0.7584 (Hourly 200 SMA) and 0.7594 (Daily 20 SMA). Support below can be found at 0.7546 (Hourly 100 SMA), 0.7539 (Daily Classic R1), 0.7535 (Yesterday's High), 0.7530 (Hourly 20 EMA) and 0.7518 (Daily Open).