AUD/USD extends dismal trade data-led corrective slide from 2-1/2 month tops

   •  Aussie weighed down by big miss on trade balance data.
   •  An uptick in USTs adds to the downward pressure.
   •  Focus remains on US monthly jobs report.

Having refreshed 2-1/2 month tops, the AUD/USD pair turned lower and has now retreated back below mid-0.7800s.

The Australian Dollar came under some selling pressure and lost some ground following a big miss on trade balance data, showing a deficit of A$628 million for November as against a surplus of A$915 million expected and A$105 million surplus reported in the previous month. 

Adding to this, a modest uptick in the US Treasury bond yields, which was seen lending some support to the US Dollar, further prompted profit-taking move around higher-yielding currencies - like the Aussie.

Even a subdued action around commodity space did little to lend any support, with long-unwinding trade playing a dominant role during the Asian session on the last trading day of the week. 

Investors' focus on Friday would remain glued to the release of keenly watched non-farm payrolls data from the US, which along with the ISM non-manufacturing PMI would influence the USD price dynamics and eventually provide fresh impetus. 

Technical levels to watch

A follow-through weakness is likely to get extended towards 0.7815 level, below which the pair is likely to break through the 0.7800 handle and head towards testing 100-day SMA support near the 0.7780-75 region.

On the upside, the 0.7865-70 region now seems to act as an immediate resistance, which if cleared should assist the pair to build on its bullish momentum and aim towards reclaiming the 0.7900 handle.