EUR/USD â�,�“ The EURUSD has slipped below the 9/19 high at 1.2725, which bolsters the bearish case.  The pair is back below the 7 month trendline as well, although potential trendline support drawn through 1.2456 and 1.2630 is at 1.2652.  A break below there represents the break of a 3 month triangle and could trigger heavier selling.  RSI and CCI crossed below their midpoints yesterday, which favors bears.  The 9/22 high at 1.2829 is initial resistance.

USD/JPY â�,�“ The USDJPY has traded in a 70 pip range since last Thursday.  The pair broke below a 4 month trendline last week and is now correcting higher.  Daily oscillators are declining and favor bears.  Resistance is at the 38.2% of 118.28-116.11 at 116.93 and the 61.8% at 117.45.  The next bearish target is the 9/5 low at 115.55.  A break below the 3 month SMA, which is at 116.14, would bolster bearish prospects.  We would also like to highlight that COT data indicates reversal potential (to the downside).

GBP/USD â�,�“ We mentioned Friday that â�,��"A topping scenario is favored now as well by hourly oscillators, which are overbought and exhibit divergence at current price.â�,�  Price is rapidly approaching the 9/14 high at 1.8918 and a break below there would strengthen the topping argument.  Yesterdayâ�,��"�s candle is an inverse spinning top, a bearish reversal candle â�,�“ which occurred at a 1 month trendline.  Yesterdayâ�,��"�s high at 1.9072 is resistance.

USD/CHF â�,�“ USDCHF has rallied 200 pips off of a 4 month trendline.  It appears that a bullish ascending triangle formation is forming and scope remains for a test of the 1.2525-1.2622 resistance zone.  It takes a break above the 9/19 low at 1.2482 for the bearish structure on the hourly to deteriorate.  A break below the aforementioned supporting trendline opens up the door for a test of the 8/21 low at 1.2182.  22 day momentum has turned up from its midpoint.

USD/CAD â�,�“ The USDCAD is holding above the confluence of the 61.8% fibo of 1.1028-1.1294 / 9/14 low at 1.1114/30.  Long wicks below the bodies of the last 3 daily candles (including today) denote strong support at this juncture.  Wave structure remains bullish as the decline from 1.1294 follows a 5 wave rally from 1.1028 to 1.1294.  In addition, support at 1.1117 is reinforced by the 9/14 low at 1.1114.  A break above 1.1205 improves the outlook for bulls but it takes a dip below 1.1028 to negate bullish implications from the mentioned 5 wave rally.

USD/CAD â�,�“ The USDCAD is holding above the confluence of the 61.8% fibo of 1.1028-1.1294 / 9/14 low at 1.1114/30.  Long wicks below the bodies of the last 3 daily candles (including today) denote strong support at this juncture.  Wave structure remains bullish as the decline from 1.1294 follows a 5 wave rally from 1.1028 to 1.1294.  In addition, support at 1.1117 is reinforced by the 9/14 low at 1.1114.  A break above 1.1205 improves the outlook for bulls but it takes a dip below 1.1028 to negate bullish implications from the mentioned 5 wave rally.

AUD/USD â�,�“ The Aussie continues within the .7481-.7573 range.  The nearly two week consolidation has taken place following the decline from .7721, thus probability favors a break lower rather than higher.  The 9/13 low at .7481 remains support.  A break below .7481 exposes the 61.8% of .7270-.7721 at .7442.  Daily oscillators are declining and below midpoints, which favors bears.  The 66 day SMA (3 month) has held as resistance since 9/11.  The moving average is currently at .7560.

NZD/USD â�,�“ Kiwi has rallied to test a major resistance area at the confluence of the 50% fibo of .7462-.5927 / 61.8% fibo of .7199-.5927 at .6694/.6712.  Fibonacci resistance is reinforced by the 7/8/2005 and 12/23/2005 lows at .6683 and .6700.  Bearish divergence with oscillators on the daily and dealer charts favor a reversal to the downside.  A break below the 9/20 low at .6546 would suggest that a top is in place at .6707.  A push above .6721 exposes the 1/27 low at .6755.  A line parallel to the support line drawn through .5927 and .6342 reinforces resistance at todayâ�,��"�s high (.6721).

Jamie Saettele is a Technical Currency Analyst for FXCM.