• AUD/USD's recovery from its lowest level since early March was capped at 61.8% Fib retrace level at 0.7212.
   
• Risk-on early on Wednesday supported the commodities and thereby commodity-linked currencies like the AUD.
   
• AUD/USD extended recovery upto session highs at 0.7219, but was unable to hold on to the 0.72 handle.
   
• Pair slipped lower and is currently trading around 0.7192 levels. 
   
• 61.8% Fib retrace of Jan to April rally at 0.7212 is strong resistance on the upside. Breaks above find next resistance at 200-DMA by 0.7253.
   
• Data released earlier showed Australia's total construction fell further in Q1, for ninth quarter in the past ten quarters, by 2.6% as against consensus expectations of a fall of 1.5%. 
   
• Disappointing construction output data further fueled speculations of an imminent RBA rate cut denting any further recovery for the pair.
   
• Also, rising expectations that the Fed could hike at any of the next few meetings, pushing the US dollar higher.
   
• Weakly charts are biased lower, we see scope for test of 0.7042 (78.6% Fib), bearish invalidation only above 0.73 levels.