EUR was one of the strongest currencies last week, especially on Friday when strong gains were also seen against commodity currencies such as AUD, CAD and NZD. Notice that EURUSD has a very tight correlation with S&P Futures, so further S&P gains means more upside for EURUSD.
S&P vs. EURUSD
On the next S&P Futures (Dec 2012) intra-day wave count we can see an incomplete impulse from 1420 with one more high to come as pull-back appears to be wave iv-circled. Support for that leg comes in around 1450.
S&P Futures (Dec 2012) 1h
So one plan is to buy the EUR that should benefit, while the S&P will be trading higher in wave five. Now the question is which currency we should sell. Well CAD is looking quite weak and showing evidences of a temporary reversal on USDCAD from 0.9630. With that said, besides the EURUSD is worth to keep an eye on EURCAD that is now probably trading in wave iv. Nice support comes in at 1.2690-1.2700. We will be tracking this pair very close for potential longs against 1.2625.