This EURAUD cross looks bullish as market is forming a possible head and shoulders formation that had the dip right from the potential bouncing place. This is the 5th time the pair is jumping from that area and it open the gates for a prolonged move above 1.50. Ahead of a US dollar driven event it is only normal to position into crosses as they tend to be the pairs affected the least. No matter what Yellen’s speech tomorrow will be, the AUDUSD and EURUSD should move in a correlated fashion and EURUSD should act accordingly. The problem with the chart above comes from the fact that it assumes the d wave is completed, which may not be the case yet. However, if indeed it is completed, there’s a potential for quite a squeeze higher. Staying long with 1.53 target should be for conservative traders. The ones more aggressive may try to trail the stops on a move higher with bigger targets in sight.