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Patterns in the AUD/USD and NZD/USD suggest that large rallies are underway.  The EUR/USD is not as clear, although holding last week's low is bullish as well.

The decline from 1.6040 is counted as either an A-B-C drop or waves 1 through 3 within a 5 wave decline.  In the case of the former, price will remain above 1.2327 in its way above 1.3302.  Support is at 1.26.  In the latter scenario, the EURUSD will probably range and complete a triangle as a 4th wave before dropping to a new low.  Although the longer term trend is likely down, there will be a bullish opportunity in the EURUSD in the next week or so…either after completion of a 5 wave decline or confirmation that the decline from 1.6040 was in 3 waves. 

The USDJPY rally from 90.86 has broken through a short term resistance line.  5 waves should complete near 102 before a pullback into congestion near 98. 

The GBPUSD is supported by a long term trendline that dates to 1985 (see purple line at bottom of chart).  I expect a larger bounce off of this line, regardless of the larger trend.  Measured support from the 100% of 2.1166-1.7443/1.8675 reinforces the long term trendline.  Similar to the EURUSD, a triangle could unfold (in which case the GBPUSD would remain below 1.6679) before a drop to a new low a larger recovery.

The USDCHF is testing a resistance line from late 2005.  This line combined with overbought and divergent RSI on the weekly should lead to a drop that lasts at least a number of weeks.

Price has come into a support zone defined by former support at 1.13 and 1.1740.  1.13 is the 4th wave of one less degree and should provide strong support. 

The rally from .6005 is either wave a or i in a larger rally.  Wave b or ii is considered complete at .6544.  Wave c or iii is underway now and an initial target is .7515 (100% extension).  .8156/85, the 161.8% extension and the 61.8% of the entire drop from .9856, is a multi-week target.

Kiwi is in a similar position.  The rally to .6037 is either wave a or i within a larger rally sequence.  Wave b or ii is complete at .5742.  Targets from Fibonacci extensions and retracements are at .6484 and .6990.

Jamie Saettele writes Forex Technicals: The Day Ahead, Monday-Thursday (published at 6 pm EST), Daily Technicals every weekday morning (9 am EST), COT analysis (published Monday mornings), and analysis of currency crosses throughout the week.  He is also the author of Sentiment in the Forex Market.