AUD/USD holding above 0.72 as Dollar buyers return

The AUD/USD caught a brief relief rally on Thursday, lifting into 0.7285 and clawing back much of the week's losses. The Aussie dipped into the 0.7200 technical barrier in the first half of the week, and despite yesterday's less-than-stellar employment report, the AUD/USD managed to scale back on the week's losses, but continued popularity in the USD sees the pair unlikely to maintain bullish momentum.

Friday sees a speech from the Reserve Bank of Australia's (RBA) Assistant Governor Luci Ellis at 07:30 GMT, though little of note is expected from the second-in-command, while the RBA's Governor Lowe will be giving his testimony before the House of Representatives' Standing Committee on Economics, where the governor is expected to continue towing the central bank's line of wait-and-see, with the RBA firmly entrenched in a trend of inaction, with the central bank recently 'celebrating' its anniversary of two straight years with no major policy adjustments.

AUD/USD levels to watch

After Thursday's quick rally in the face of cautious employment numbers waking the pair back to where the week began, the Aussie is seeing little technical support for a further push higher, as noted by FXStreet's own Valeria Bednarik, "the pair has a limited upward potential according to technical readings in the 4 hours chart, as its barely holding above a flat 20 SMA, while technical indicators lost upward strength, the Momentum now flat around its midline and the RSI turning lower around 46, this last, leaning the risk toward the downside for the upcoming sessions."

Support levels: 0.7230 0.7190 0.7155  

Resistance levels: 0.7285 0.7310 0.7340