AUD/USD jumps to 2-week highs near mid-0.7900s

The AUD/USD pair was seen building on previous session's strong up-move and is currently placed at fresh two-week tops, around mid-0.7900s.

The pair's recovery move from one-month lows got an additional boost during NY trading session on Tuesday after minutes from the Federal Reserve's latest monetary policy meeting reinforced market expectations that further rate hike in 2017 was unlikely. 

The pair continued gaining traction through early European session on Thursday amid persistent US Dollar selling bias. The bullish momentum had a little impact from today's Australian jobs data that showed an unexpected drop in the full-time jobs in July. 

According to the data released during Asian session on Thursday, Australian economy added 27.9K jobs (20K expected) during July, while the unemployment rate held steady at 5.6%. Meanwhile, the figure for June was revised higher to show an addition of 20K jobs, as compared to 14K reported earlier but was largely negated by an upward revision of unemployment rate. 

   •  Australia’s July employment report: Mixed reading, full time jobs drop sharply

Later during the NA session, the US economic data - weekly jobless claims, Philly Fed Manufacturing Index, industrial production and capacity utilization data, would now be looked upon for some fresh impetus.

Technical levels to watch

A follow through buying interest beyond 0.7965-70 area might now assist the pair to aim back towards reclaiming the key 0.80 psychological mark before darting towards monthly highs resistance near the 0.8040-45 region.

On the downside, any pullback below 0.7925 level now seems to find some fresh buying interest near the 0.7900 handle, below which the pair is likely to drift back towards mid-0.7800s en-route 0.7825-20 strong horizontal support.