AUD/USD hammered down to near 3-week lows, around mid-0.7900s

In a knee-jerk reaction to today's stellar US jobs data, the AUD/USD pair accelerated its downfall and tumbled to its lowest level since mid-January.

Investors reacted to a stronger than expected headline NFP print and stronger wage growth data, which underscored the strong momentum in the US economy. The US Dollar rallied hard, further supported by a follow-through upsurge in the US Treasury bond yields, and prompted some fresh selling around higher-yielding currencies - like the Aussie. 

Meanwhile, possibilities of some short-term stops being triggered, on a decisive break below the 0.8000-0.7980 region, further collaborated towards aggravating the selling pressure during the early NA session. 

With today's fall, the pair has now reversed all of its gains recorded in the past week and is all set to end the week with steep losses, marking its first weekly decline in the previous eight. 

Technical levels to watch

A follow-through weakness below 0.7935 horizontal support might now turn the pair vulnerable to break below the 0.7900 handle, below which the selling could continue till 0.7860 horizontal support.

On the flip side, any recovery attempts might now confront fresh supply near the 0.7980-85 region and is closely followed by resistance near the key 0.80 psychological mark.