AUD/USD has struggled in early dealing.......>

AUSSIE: AUD/USD has struggled in early dealing this week, last 5 or so pips

softer at $0.7720.

- The rate has had limited/no notable reaction to the soft Chinese PMI surveys

released over the weekend, although it is worth noting that the official

non-manufacturing beat exp.

- AUD/USD failed to hold above the 50-DMA with the subsequent reversal extending

to $0.7202 on Friday. Bears now target a break of the $0.7200 level, where the

21-DMA currently resides. Through here brings the YTD low at ($0.7085) back into

play. Bulls need a close above the 50-DMA ($0.7289) to improve the short-term

outlook and extend the recovery.

- Participants will focus on the rhetoric employed in tomorrow's RBA MonPol

decision, with all of those surveyed expecting no change in the Bank's cash

rate, ahead of AU retail sales & trade data, as well as an address from RBA's

Heath later this week.