EUR/USD - Dollar strength has pushed EURUSD below the trendline from the 1.2456 low that we have focused on in recent days.  However, the decline still looks corrective.  The decline from 1.2971 to 1.2456 is in 3 waves which means that the rally from 1.2456 to 1.2908 could be the first leg of a larger 5 wave bullish sequence.  A short term double bottom and bullish divergence with RSI on the hourly just above the 38.2% fibo of 1.2456-1.2908 at 1.2736 gives scope to gains going forward.  However, a break below today's low at 1.2739 could send the pair to the 50% fibo of 1.2456-1.2908 at 1.2682.

USD/JPY - USDJPY has broken above its resisting trendline from the 117.88 high is currently testing the 50% fibo of 117.88-113.95 at 115.92.  RSI on the hourly is in overbought territory.  The larger correction still takes the form of a  diagonal triangle - which could end in a thrust higher to resistance before a bigger turn lower.  Resistance is at the 61.8% fibo of 117.88-113.95 at 116.38 as well as the 6/27 high at 116.67.  A rally to this zone would also form a symmetrical head and shoulders pattern.

GBP/USD - Cable has corrected more of its strength - dipping below the 1.890 figure yesterday and today.  There may be more room left to the downside as a trendline from the 1.8176 low rests just below the 38.2% fibo of 1.8176-1.9144 at 1.8776.  On a larger scale, the rise from 1.7046 (November 2005) appears to be in 5 waves - which means that the uptrend could be nearing an end.  Negative divergence with oscillators on the daily (and overbought RSI) indicate slowing upside momentum as well.  Still, gains past 1.9128 target the 1.9215-1.9323 area (congestion from 4/20/2005 high to 3/8/2005 high).

USD/CHF - USDCHF has rallied to just below the 50% fibo of 1.2595-1.2191 at 1.2392.  This fib level as well as the extension of the former supporting trendline from 1.1919 are holding as resistance.  Bearish divergence with RSI on the hourly and RSI falling from overbought territory both favor weakness in the near term.  Still, we could see strength to test the confluence of the 161.8% fibo extension of 1.2191-1.2331 (from 1.2192) / 7/28 high at 1.2418/24.  This zone is ideal for the terminus of a 3 wave correction from 1.2191.  The 61.8% fibo of 1.2595-1.2191 is just above there at 1.2438.

USD/CAD - USDCAD is currently testing resistance at a trendline from the 7/24 high at 1.1456.  A break above the trendline targets the 8/4 high at 1.1345.  A supporting trendline from the 1.0927 low is near 1.1160 and additional support is at the 61.8% fibo of 1.0927-1.1256 at 1.1130.  We have favored the bullish side due to the sequence of higher lows since 1.0927 and will continue to unless 1.1039 is breached. 

AUD/USD - AUD/USD has held below the 78.6% fibo of .7791-.7270 (on a closing basis) and is now trading back below former resistance at .7680.  Short term momentum is down as evidenced by RSI sloping down on the hourly and below 50.  Bolstering the bearish case is bearish divergence with oscillators on the daily chart.  A slide below yesterday's low at .7642 exposes the bottom of the previous range at .7670/80.  This is the favored scenario but a push above yesterday's .7713 high could see the 5/17 high at .7725 challenged.

NZD/USD - Kiwi is currently testing the 78.6% fibo of .6443-.5927 as resistance at .6332.  A push above there would expose a potential resisting trendline that connects the 5/3 high at .6443 and the 5/31 high at .6428.  The line is just below the .6400 figure.  The hourly shows that the rally that has persisted since the 7/28 low at .6143 is getting tired as RSI is hovering around overbought territory.  Also, price closed above the upper Bollinger band on the daily yesterday and today's candle is almost entirely above the band - indicating that the rally is becoming a bit overextended.  With this in mind, look for resistance at the aforementioned resistance line.

Jamie Saettele is a Technical Currency Analyst for FXCM.