JIM CHOREK, TECHNICAL ANALYST, CHOREK.COM

EURO/DOLLAR: "New trend lows on Wednesday has the bear in its final leg of the pattern from $0.9120. A test of $0.8655 is possible, but any move above $0.8806 would warn of a low already in place at $0.8748. Then, we would have to wait for a move above $0.8842/65 to target $0.8978.
The push to a new trend low forces me to label the $0.8842 (Nov.14) high as a completed wave (iv) structure. That means the decline from there is wave (v). Its ideal target is at $0.8655. There, it will equal the distance traveled in wave (i). But, the recent waning downward momentum has me worried it may have bottomed early. It did satisfy its minimum qualifications by moving below the $0.8760 wave (iii) low, so from a theoretical point of view, we could see a reversal at any time.
Rather than pick bottoms, let's wait for the market to tell us what it wants to do. What I mean by that is that we should wait for upward confirmation before we consider a reversal to the upside underway. Right now, we must keep an eye on the $0.8806 resistance. It marks the .618 retracement of the decline from the $0.8842 thus far. Only a move above it would signal a notable correction underway. Until then, respect the possibility of a test of $0.8655.
DOLLAR/YEN: "There's still a chance for a test of 121.96 yen, but poor downward rhythm suggests that the next big move will be higher. Look for a new trend high early next week (if not earlier), putting this bull on track for a move toward 126/127.
"Short-term patterns are still unclear. Action from the 119.68 yen low is difficult to count, which usually means that the move is far from complete. There has been virtually no follow-through decline after the break of the 122.57/55 support, but the door remains open for a test of 121.96. Still, the lack of downward momentum from 123.50 and the choppy, sideways structure does not allow me to have high confidence about such a test. The broader patterns are clearly in favor of the bull. While i cannot rule out a corrective dip in the near run, the next big move should be higher. A move above the 123.50 high will set this bull on track for a move toward the 126.13/82 double top."