AUD/USD Price Analysis: Off three-week tops, attacks 0.7300 as China woes resurface

• AUD/USD eases from multi-week tops amid China concerns.
• Acceptance above the 50-DMA barrier is critical for the AUD bulls.
• Focus shifts to the critical US Nonfarm payrolls data.

AUD/USD has wiped out early gains and trades mildly offered during mid-Asia this Friday, as investors digest the latest discouraging news from China’s troubled property sector amid the return of full markets.

Read: China Evergrande Update: Jumbo Fortune Enterprises set to default on its $260 million payment

The aussie bulls also turn cautious ahead of the all-important US Nonfarm Payrolls data, which will cement the Fed’s tapering as early as next month.

However, the downside could remain cushioned by the big beat on the Chinese Caixin Services PMI, with the dragon nation’s services sector returning to expansion in September.

As observed on the pair’s daily chart, the aussie is retracing below the critical horizontal 50-Daily Moving Average (DMA), with the next downside target seen at the mildly bearish 21-DMA at 0.7280.

Further south, the rising trendline connecting the recent lows at 0.7251 could be challenged by the buyers.

AUD/USD: Daily chart

The 14-day Relative Strength Index (RSI) is flatlined just above the 50.00 level, suggesting that the bulls are lacking a conviction for now.

However, the upside potential remains intact should the aussie bulls find a strong foothold above the 50-DMA on a daily closing basis.

The next significant goal for the AUD optimists could be seen at the 0.7350 psychological level if the three-week highs of 0.7325 gives way.

AUD/USD: Additional levels to consider