AUD/USD bulls making a fresh attempt to conquer 0.78 handle

   •  Catches fresh bids near 100-DMA. 
   •  US bond yields retreat after softer data. 
   •  Bullish copper prices remain supportive. 

The AUD/USD pair stalled its profit-taking slide from 2-month tops near 100-day SMA support and might now be looking to move back above the 0.7800 handle.

The pair caught some fresh bids during the early NA session and was being supported by today's softer US economic data, which failed to provide any immediate respite for the US Dollar bulls. Adding to this, a modest post-data retracement in the US Treasury bond yields further benefitted higher-yielding currencies - like the Aussie. 

Meanwhile, the ongoing bullish run-up in copper prices remains supportive of the strong bid tone surrounding the commodity-linked Australian Dollar, with an extension of the pair's bullish break through 100-day SMA, amid pre-holiday thin liquidity conditions, still looking a distinct possibility.

Next on tap would be the release of Chicago PMI, which is unlikely to provide any meaningful impetus but would still be looked upon for some short-term trading opportunities.

Technical levels to watch

Sustained momentum back above the 0.7800 handle, leading to a subsequent move beyond 0.7810 area (session tops), should pave the way for a move towards 0.7845-50 supply zone en-route 0.7885-90 hurdle.

On the flip side, 0.7775-70 area remains an immediate support to defend, which if broken might trigger a profit-taking slide towards 0.7730 level ahead of the very important 200-day SMA support near the 0.7700-0.7695 region.