FXstreet.com (Barcelona) - Australian Dollar had been going through a sharp recovery during the last two days, when the Aussie bounced from 0.8180 to reach 0.8480 on Friday's Asian session, to drop 0.8400 support on early European session.

Chinese Government decision to put plans of expansion for steel and Iron companies in to a three year moratorium has weighed on the Aussie, says the Forex.com Research Desk: AUD/USD posted 11 month gains to 0.8477, but the elation was short lived as Australia is a key exporter of raw materials to China, so the blow from the China news was swift.

In case of further decline, below 0.8400 next support levels come at 0.8360 and 0.8315/25. =n the upside, resistance levels lie at 0.8475, and above here, 0.8550 and 0.8650.