Antipodean currencies are very exposed to China’s economic problems. While the Australian Dollar has already lost 7% since the double-top it formed in June and July at 0.69, further losses are possible. 

Almost all the July data missed market expectations by a wide margin. The message is loud and clear: China is experiencing all-out deflation. Contracting Chinese demand for Australian commodities (iron ore) and, more directly, softer Chinese stocks are putting AUD/USD more at risk.