Foreign exchange market views and key levels

Following is a selection of comments from analysts on important technical developments in the foreign exchange market.
EURO/DOLLAR: "Its failure yesterday at triangle trendline resistance favours continued range contraction. Intermediate-term outlook remains neutral within the triangle but above the 38.2 percent Fibonnaci from the November - January bull wave we favour an eventual resumption of the long-term bull trend. Sustained break above $1.2650 short-term trendline required to trigger any sort of upside momentum. Intraday we favour the downside after yesterday's inability to hold above the 20-day SMA."
DOLLAR/YEN: "Its failure to develop downside momentum on the break of the 105.50 yen Fibonnaci level makes the pair extremely susceptible to a short squeeze.
Oscillator divergences and a positive cross on the slow stochastic further support the bull side and a potential upside run. While the longer-term picture remains overwhelmingly bearish, we now require a break below the 105.00 handle to confirm a true resumption of the downtrend."
AUSTRALIAN DOLLAR/US DOLLAR: "Strong horizontal support $0.7530. This represents the low of the previous retracement, set on January 19. Below this, at $0.7516, is the 55-day moving average, below which Australian dollar/US dollar has not traded below since September 11."
EURO/DOLLAR: "Forming a very well defined triangle consolidation. A close above $1.2638 would give a break to the upside and at first target the previous highs at $1.2898. We do not however believe this will be the start of another strong trending move higher, far more likely a marginal new high that is unlikely to extend beyond $1.3050.
This is due to moving average enveloping we monitor on euro/dollar."
DOLLAR/YEN: "We continue to believe it is very susceptible to an upside correction due to the positive divergence on both the daily and weekly charts.
A close above 106.72 yen will post a bullish weekly reversal from the lows of the move. Initial targets of the correction would be 107.17 yen -108.23 yen, however above here could easily extend to 110.04 yen.