AUD/USD corrects further from 2-week tops, refreshes session low

   “¢   A sharp fall in copper prices prompts some fresh selling on Thursday.
   “¢   Surging US bond yields ease USD bearish pressure and add to the selling bias.

The AUD/USD pair met with some fresh supply on Thursday and eroded a major part of overnight up-move to over two-week tops.  

A broad-based US Dollar sell-off helped the pair to reverse Wednesday’s softer Aussie CPI-led downfall and rise to an intraday high level of 0.7465.  

The up-move, however, lacked any follow-through, with a sharp fall in copper prices prompting some fresh selling around the commodity-linked Australian Dollar on Thursday.  

This coupled with a goodish pickup in the US Treasury bond yields eased the USD bearish pressure and exerted some additional downward pressure through the early European session.

Moving ahead, today’s important US macro release – durable goods orders data, will now be looked upon to grab some meaningful trading opportunities.  

The key focus, however, would be on Friday’s advance US Q2 GDP growth figures, which should help investors determine the pair’s next leg of directional move.  

Looking at the broader picture, the pair remains within a broader trading range, held over the past six weeks or so. Hence, it would be prudent to wait for a decisive break in either direction before positioning for the near-term trajectory.  

Technical levels to watch

A follow-through weakness could get extended towards the 0.7405-0.7400 horizontal zone, below which the pair is likely to accelerate the fall towards 0.7380 area before eventually dropping to 0.7335 support.

On the flip side, 0.7460 level now becomes an immediate strong hurdle, which if conquered now seems to assist the pair to aim towards reclaiming the key 0.7500 psychological mark.