AUD/CAD - Canadian dollar bulls continued to engage their Australian dollar counterparts as price action stalled around .8650, a level established by the combination of the 20-day and 50-day SMA's . As AUD/CAD breaks higher, a move by the Aussie longs will most likely see the AUDCAD head above .8796, a level defended by the 23.6 Fib of the .9854-.8474 CAD rally and test the Loonie offers around .8927 a level marked by the October 24 daily high. A further move on the part of the Australian dollar longs will most likely see the cross head toward the psychologically important .9000 handle, a level defended by the 38.2 Fib of the .9854-.8474 CAD rally. A further upside momentum will most likely see the Australian dollar bulls push the cross higher and aim for the Canadian dollar offers around .9163, a level created by the 50.0 Fib of the .9854-.8474 CAD rally, thus seeing AUD/CAD break above the 200-day SMA at .9070. Indicators are favoring Australian dollar longs, with both positive momentum indicator and MACD treading above the zero line, while ADX above 25 at 28.86 signals an existence of a trend, not a direction of one, with neutral oscillators giving either side enough room to maneuver.

AUD/JPY - Japanese yen traders failed to extend its rally after the cross once again headed above 85.88, a level established by the 38.2 Fib of the 77.00-91.44 AUD rally. As Aussie traders continue their advance, a move above 87.23, a level marked by the 50-day SMA will most likely see the cross head higher and test the Japanese Yen offers above 88.00, a level marked by the 23.6 Fib of the 77.00-91.44 AUD rally. A further move to the upside will most likely see the cross head toward the psychologically important 90.00 handle, a level defended by the December 8 daily low. Indicators are favoring the Japanese Yen longs, with both negative momentum indicator and MACD treading below the zero line, with neutral oscillators giving either side enough room to maneuver.

AUD/NZD - Australian dollar bulls failed to push the cross higher as AUD/NZD stalled around the psychologically important 1.1000 handle, a level marked by the 78.6 Fib of the 1.1162-1.0442 NZD rally A failure to break above will most likely see the New Zealand dollar longs push the cross lower and with a move below 1.0900 figure most likely targeting, 1.0878, a level created by the combination of 61.8 Fib of the 1.1162-1.0442 NZD rally and 20-day SMA. A further move on the part of the Kiwi longs will most likely see the cross aim for the Aussie bids around 1.0792, a level established by the 50.0 Fib of the .1162-1.0442 NZD rally. A further break to the downside will most likely see the AUD/NZD head lower and test the Australian dollar defenses around 1.0708, a level marked by the 38.2 Fib of the .1162-1.0442 NZD rally. Indicators are favoring Australian dollar longs, with both positive momentum indicator and MACD treading above the zero line, while ADX above 25 at 27.63 signals an existence of a trend, not a direction of one, with neutral oscillators giving either side enough room to maneuver.

Sam Shenker is a Technical Currency Analyst for FXCM.