Find the equation of the circle which is tangentially touching three given circles: $x^2+y^2=49$, $x^2+(y-3.5)^2=49/4$, and $y^2+(x-3.5)^2=49/4$.
By tangentially i mean, it touches the smaller two circle externally and the larger one internally.
The problem would have been much easier had the three given circles been tangent to each other but the smaller two of them intersect, making finding the radius of the circle in question much difficult for me.
Well, I should write the general equation of the circle and equate sum of radius with the distance between the centre with the three given equations.
I am not getting the correct answer with this approach.
Please help. 

Hint: since the two small circles are symmetric to the 45° line, the midpoint of the two possible circles are on this line. one of the three possible solutions ist the large circle itself.