EUR/AUD - Euro bulls continued to pound the Australian dollar positions as single currency longs tried to push the cross above the 1.6045, a level marked by the 23.6 Fib of the 1.7712-1.5532 AUD rally. As the price action remains on the side of the euro longs, a move above the Australian dollar defenses will most likely see the cross head higher toward the 1.6129, a defensive position established by the Australian dollar bulls during the August 25 daily low. A sustained momentum to the upside will most likely see the euro bulls overrun Australian dollar positions and push the cross toward the 1.6294, August 9 daily low. Indicators signal trendless market conditions with ADX below 25, while MACD is sloping upward toward the zero line and momentum indicator is treading above the zero line. Oscillators remain in a neutral territory thus giving either side enough room to maneuver.

EUR/CAD - Euro longs continued to push the Canadian dollar longs toward the upper boundary of the trading range as the price remained in sideways motion. In case the euro longs succeed with their attack, a move to the upside will most likely see the single currency bulls push their way toward the 1.4403, a level marked by the October 6 daily high, which currently defends the psychologically important 1.4500 figure. A sustained momentum will most likely see the euro take on the Canadian dollar offers around 1.4773, a level marked by the 50.0 Fib of the 1.2569-1.6978 EUR rally. Indicators signal are diverging with momentum indicator is crossing above the zero line and MACD sloping upward below the zero line, while both oscillators treading in a neutral territory.

Sam Shenker is a Technical Currency Analyst for FXCM.