AUD/USD sticks to dismal data-led weakness below 0.80 mark

The AUD/USD pair extended disappointing data-led slide and is currently placed just a few pips away from session lows, around the 0.7980-85 region.

The pair continued with its struggle to sustain strength above the key 0.80 psychological mark and once again ran through some fresh offers near the 0.8020-30 supply zone. 

With the US Dollar finding some support from a three-month extension of the US debt ceiling, today's downbeat releases of Australian retail sales and trade balance data triggered the initial leg of slide from higher levels. 

   •  Australia: Retail sales lose momentum – Westpac

This coupled with a modest retracement in commodity prices, especially copper, further weighed on commodity-linked currencies and collaborated to the offered tone surrounding the major. 

It, however, remains to be seen if the pair is able to extend the pull-back or managed to catch some bids at lower levels amid sliding US Treasury bond yields, which tends to benefit higher-yielding currencies - like the Aussie.

Technical levels to watch

Immediate support is pegged near 0.7965-60 zone, below which the pair is likely to fall below 0.7940 area and head towards testing the 0.7900 handle en-route 50-day SMA strong support near the 0.7870 region. 

On the upside, momentum beyond the 0.80 handle might continue to confront fresh supply near the 0.8020-30 region, which if conquered is likely to accelerate the up-move towards multi-month highs resistance near 0.8065 level touched late July.