FXStreet (Mumbai) - The AUD/USD pair is seen retracing the above estimates Australian CPI figures induced gains and now looks to test 0.70 handle as risk-off accelerates on renewed sell-off in oil prices. AUD/USD sold-off just shy of R1 at 0.7048 Currently, the AUD/USD pair trades 0.14% higher at 0.7015, reversing more than half of Aus CPI-led spike to 0.7042 session tops. The Aussie pares gains, although holds above 0.70 handle, as the sentiment towards higher-yielding currencies deteriorated after a renewed bout of risk-aversion gripped Asia as the black gold as well as the Chinese equities resumed their dominant downtrend. Earlier on the day, the AUD/USD pair jumped to 0.7042 levels after the Australian CPI data bettered estimates and reduced chance of a RBA rate cut in Feb to 6% versus 19% previous. However, the pair failed to surpass the strong resistance around 0.7045/47 levels and drifted lower towards 0.70 barrier. Australia's CPI rose 0.4% over the October-December period, easing from the 0.5% in the September quarter but higher than forecasts of 0.3%. Looking ahead, markets eagerly await the Fed decision for fresh direction on the US dollar, while the sentiment continues to be driven by oil and stocks. AUD/USD Levels to watch The pair finds the immediate resistance at 0.7042/50 (Daily High/ Jan 13 High) above which gains could be extended to the next hurdle located at 0.7090/0.7100 (Daily R1/ psychological levels). On the flip side, the immediate support located at 0.6983/82 (1h 100-SMA/ Daily pivot) Selling pressure is likely to intensify below the last, dragging the Aussie to 0.6940/39 (Daily S1/ 1h 200-SMA) For more information, read our latest forex news.