AUD/USD on offers for second straight session, 0.80 handle at risk

The AUD/USD pair remained under some selling pressure for the second consecutive session and has now moved on the brink of breaking below the key 0.80 psychological mark.

The spot extended its pull-back from Friday's 28-month highs and slipped further following the release of weaker Australian NAB Business survey. According to the report, business confidence index dropped to 5 in August from a reading of 12 recorded last month, while business conditions edged up 1-point to 15 for the reported period.

Meanwhile, a follow through uptick in the US Treasury bond yields, amid improving investor risk sentiment on receding worries over North Korea and Hurricane Irma, continued lending support to the US Dollar's strong recovery and further collaborated towards a weaker sentiment surrounding higher-yielding currencies - like the Aussie. 

Later during the NA session, the release of JOLTS Job Openings data from the US would now be looked upon for some trading impetus. In the meantime, broader market risk sentiment and the US bond yield dynamics would continue to act as key determinants of the pair's movement on Tuesday.

Technical levels to watch

On a sustained break below the 0.80 handle, the pair is likely to drift towards 0.7960 horizontal support en-route the 0.7940 level. Meanwhile, on the upside, momentum beyond 0.8035 (session high) could get extended towards 0.8050-60 hurdle, above which the pair is likely to dart back towards reclaiming the 0.8100 handle.