AUD/USD pares jobs data-led losses, back closer to 0.7700 handle

The AUD/USD pair held on to disappointing Australian jobs data-led weakness, albeit has managed to bounce off few pips from lows and is now trading back closer to the 0.7700 handle. 

Today's disappointing Australian jobs report weighed on the Australian Dollar and prompted some profit taking following yesterday's sharp up-surge to three-week tops. According to the data released on Thursday, the number of employed people unexpectedly dropped by 6.4K in February and the unemployment rate also shot up to 5.9%. 

The downslide, however, has been limited amid a follow through retracement in the US treasury bond yields, which was seen driving flows towards higher-yielding currencies - like the Aussie. Meanwhile, the US Dollar's inability to recover from overnight sharp losses, in wake of less hawkish Fed, further lend support and helped the major to bounce back to 0.7700 mark. 

Today's US economic docket, featuring housing market data, Philly Fed manufacturing index and usual weekly jobless claims would now be looked upon for some fresh trading impetus during early NA session.

Technical levels to watch

Bulls would be eyeing for a move above multi-week highs resistance near 0.7715 level, above which the pair is likely to aim towards yearly highs near 0.7740 region ahead of Nov. 2016 highs resistance near 0.7775-80 area.

On the flip side, a follow through retracement below session lows support near 0.7675 level is likely to accelerate the slide to mid-0.7600s before the pair eventually drops back to 0.7610 important horizontal support.