AUD/USD: what will the Asian session brong for AUD traders, more downside to follow?

Currently, AUD/USD is trading at 0.7345, up 0.02% on the day, having posted a daily high at 0.7348 and low at 0.7339.

The AUD/USD has been out of favour with markets of late with a combination of disappointing key economic data and commodity prices while the dollar marches on. AUD/USD's  minor corrections have been faded in a phase of consolidation and the US shift saw at fresh 4-month  at 0.7328 overnight.

Traders continued to sell the Aussie after yesterday's  Retail Sales data for March when sales fell by 0.1% in March vs expectations of a 0.3% advance. For today, we have Chinese inflation data as the next major catalyst.

Economic/event risks: some here for AUD/USD traders today - Westpac

Analysts at Westpac explained that the April CPI is expected to move to 1.1%yr from 0.9%yr in Mar with inflation set to remain well below target as a bumper crop has seen falling vegetable prices. "Core CPI ex food and energy is tracking more steadily at 2.0%yr, consistent with the last two readings. Apr PPI is expected to pull back to 6.7%yr from 7.6%yr due to the surge driven by rising commodity prices beginning to fade."

AUD/USD levels

AUD/USD: rebounds unlikely to get through 0.74 handle - Westpac

Valeria Bednarik, chief analyst at FXStreet explained that the technical readings support the bearish case. "An early advance was rejected by a bearish 20 SMA in the 4 hours chart, while indicators in the same time frame have turned south, with the Momentum at fresh weekly lows and the RSI holding near oversold readings. The pair has a major long-term support at 0.7250, a probable bearish target for the upcoming session should the downward momentum persist."