EUR/USD has closed around the moving average conglomerations at 1.4330 and the AUD/USD has closed right on the previous highs near 1.1010. The next 50 pip move in these pairs is likely to give direction to the rest of the market.
- If EUR/USD falls 50 pips then this technical area at 1.4330 becomes strong resistance; if EUR/USD rises 50 pips first then the break below can be seen as false and the area becomes support again
- Similarly in AUD/USD, consolidation below 1.1010 will greatly weaken the bullish case wheras a break back above there would confirm it as resitance-turned-support
