EUR/USD: Neutral: A test of the month-to-date high of 1.0985 will not be surprising but a sustained up-move is unlikely.
The breach of the 1.0905 stop-loss yesterday nullified our bearish EUR/USD view. While the undertone remains positive, the current movement is unlikely to be part of a directional move.
We are neutral now but the short-term bias is for a move higher to test the month-to-date high near 1.0985 even though a sustained move above this level appears unlikely. Strong support is at 1.0815.
GBP/USD: Neutral: In a corrective recovery now.
The recent build-up in upward momentum fizzled out quickly with the move back below the 1.4285 support. However, the current price action is viewed as part of a broad consolidation phase and not the start of a sustained directional move.
As long as the solid support at 1.4150 is intact, the current corrective recovery in GBP/USD has the scope to extend higher to test the major 1.4450 resistance (even though a break above this level is not expected).
AUD/USD: Neutral: Rebound has room to extend to 0.7110.
We shifted to a neutral stance last Friday and have been expecting the current corrective rebound in AUD/USD to extend higher to test the major 0.7110 resistance. The high has been 0.7081 yesterday and with the undertone still positive, another leg higher to 0.7110 is still likely.
That said, a sustained move above this level is not expected. 0.6920 is acting as a very strong support now.
NZD/USD: Neutral: Clear break below 0.6410 would indicate start of a fresh bearish phase.
While NZD/USD held below the 0.6555/60 resistance, the sharp drop is still holding above the major 0.6410 support. The pair has to break clearly below this level to indicate the start of a fresh bearish phase.
Overall, this pair is expected to remain under pressure unless it can reclaim 0.6530 from here in the next few days.
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