AUD/USD eases from tops, still well bid above mid-0.7800s

   •  Bullish momentum fizzles out ahead of the 0.7900 handle.
   •  Weaker USD/US bond yields fail to provide any fresh bullish impetus.

The AUD/USD pair trimmed some of its early strong gains and has now retreated over 20-pips from multi-day tops touched earlier.

The pair was seen building on last week's goodish rebound from sub-0.7800 level but the momentum already seems to have run out of steam. Despite persistent US Dollar selling bias, the pair struggled to attract any follow-through traction and failed just ahead of the 0.7900 handle. 

Even a subdued action around the US Treasury bond yields, which tends to benefit higher-yielding currencies - like the Aussie, and positive commodity prices, did little to provide any fresh bullish impetus. 

The pair's modest retracement from higher levels lacked any obvious catalyst and hence, lacked any subsequent selling, at least for the time being. Moving ahead, today's US economic docket, featuring the release of new home sales data, and Fedspeak would now be looked upon to grab some short-term trading opportunities. 

Technical levels to watch

A follow-through retracement below 0.7860-55 area might turn the pair vulnerable to head back towards retesting the 0.7800 handle with some intermediate support near the 0.7825 region (100-day SMA).

On the upside, bulls would be eyeing for decisive break through the 0.7900 handle, above which the pair seems to head back towards challenging the 0.7940-45 supply zone en-route the key 0.8000 psychological mark.