FxWirePro: AUD/USD erases early gains, finds strong support at 55-EMA and daily cloud

AUD/USD chart - Trading View 

AUD/USD has erased early gains and has slipped lower from session highs at 0.7722.

The pair was trading 0.25% higher on the day at 0.7694 at around 04:30 GMT, outlook is bearish.

Data released on Sunday showed China's export growth jumped to the highest in over two decades, while imports also showed a sharp bounce-back from the coronavirus outbreak lows. 

Exports spiked 60.6 percent on-year in the January-February period, well above forecasts, while imports rose 22.2 percent, official data showed Sunday.

The latest figures showed a sharp bounce from last year's fall of around 17 percent in exports and 4 percent drop in imports.

Meanwhile, China's overall trade surplus came in at $103.3 billion, its customs administration said. The country's trade surplus with the US doubled from the same period last year to $51.3 billion.

Aussie failed to extend upbeat China trade data led gains, slips lower amid rising risk-off.

Technical indicators are showing a slight bearish shift and bearish RSI divergence adds to the downside bias. 

The pair is currently holding strong support at 55-EMA and daily cloud. Decisive break below will plummet prices.

RBA Governor Phillip Lowe's speech on Wednesday titled “The Recovery, Investment and Monetary Policy” will be closely watched for cues.