FxWirePro: AUD/USD cedes early gains ,outlook bearish

• AUD/USD eased on Monday as the Australian dollar lost momentum as concerns over further Japanese yen intervention eased.

• Japan and the United States officially confirmed last week's coordinated currency action and pledging to continue efforts to address excessive yen volatility.

•China's weaker manufacturing data also weighed on the Australian dollar. The RatingDog China Manufacturing PMI fell to 50.9 in July from 51.7 in June, missing expectations of 51.5, signalling a slowdown in factory activity and softer demand conditions.

•Markets now await Australia's June and second-quarter household spending data, which are expected to provide further clues on consumer strength and the outlook for domestic demand.

• Immediate resistance is located at 0.7069 (Higher BB), any close above will push the pair towards 0.7072 (38.2%fib).

• Support is seen at 0.6989(38.2%fib) and break below could take the pair towards 0.6978 SMA20(50%fib).

 Recommendation: Good to sell around 0.6750, with stop loss of 0.6800 and target price of 0.6670