AUD/USD last trades at $0.7040, a handful....>

AUSSIE: AUD/USD last trades at $0.7040, a handful of pips lower on the day, as

the Aussie is modestly pressured by softer than exp. Chinese credit data,

released on Sunday.

- This comes after the rate added almost 30 pips Friday, although it initially

edged lower in the Asia-Pacific hours, as NAB changed its RBA call to two 25bp

cuts to the policy rate in July and November of this year, before Chinese trade

data revealed a narrower than expected trade surplus and a particularly weak

breakdown. However, AUD/USD bounced thereafter, as broader USD weakness came to

the fore on the back of a soft headline NFP print.

- Initial bearish attention is drawn to the lower 1.0% 10-DMA envelope at

$0.7022. A break below would open up the lower Bollinger band (2%), located a

further 10 pips below. Meanwhile, bulls target the 100-HMA at $0.7043 before

challenging the cloud base at $0.7068.

- Australian focus next week turns to remarks from RBA Dep Gov Debelle, as well

as NAB business confidence data, both scheduled for Tuesday.