EUR/JPY - Euro bulls failed to break the Japanese yen defenses above the 139.00 handle during the latest assault launched by the single currency longs and retreated below 138.40, a level marked by the key 78.6 Fib of the 140.51-130.68 JPY rally, with a further move to the downside seeing the cross test the euro defenses around 137.36, a 20-day SMA. A sustained momentum by the Japanese yen bulls will most likely see the cross take on the euro defenses around 136.73, a level marked by the 61.8 Fib of the 140.51-130.68 JPY rally. A further collapse of the euro defenses will most likely see the yen longs make their way toward the 135.57, a 50.0 Fib of the 140.51-130.68 JPY rally and a gateway to the psychologically important 135.00 handle. Indicators favor the euro longs with both the momentum indicator and positive MACD treading above the zero line. Stochastic is treading above the overbought line thus giving the yen longs a chance to retaliate.  

Key Levels & Technical Indicators

EUR/CHF - Euro longs continued to lose ground against the Swiss Franc longs, but managed to find bids at the triangle's lower boundary as the level is currently defended by the 38.2 Fib of the 1.5079-1.5661 EUR rally. A reversal from the current level will most likely see the euro break above the Swissie defenses at 1.5525, a 23.6 Fib of the 1.5079-1.5661 EUR rally, and push their way toward the triangle's upper boundary, however a failure to break above will most likely see the Swiss Franc longs takeover the price action and push the cross back toward the 1.5500 handle. Indicators favor the Swiss Franc longs with both the momentum indicator and negative MACD treading below the zero line, while neutral oscillators give either side enough room to maneuver.

Key Levels & Technical Indicators

EUR/GBP - British pound bulls continued to dominate the euro longs as the cross remained on a downward path with the latest swing to the downside taking on the single currency defenses around .6750. A further collapse of the euros defenses will most likely see the cable longs push their way toward the .6726, a 23.6 Fib of the .7106-.6609 GBP rally, and with sustained momentum to the downside taking on the .6687, a level marked by the June 22 daily high. Indicators are diverging with momentum indicator below the zero line and positive MACD sloping downward toward the zero line, with oversold Stochastic giving the euro longs a chance to retaliate.

Key Levels & Technical Indicators

Chart of the Moment

Sam Shenker is a Technical Currency Analyst for FXCM.