FX Market Commentary 1/5/2015

FX – EURO

THE EURO closed lower on Friday and the lowrange close sets the stage for a steady opening on Monday. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible nearterm. If it extends the aforementioned rally, weekly resistance crossing is the next upside target. Closes below the 20day moving average crossing would confirm that a shortterm top has been posted.

FX – YEN

THE YEN closed higher on Friday and the highrange close sets the stage for a steady to higher opening when Monday's night session begins trading. Stochastics and the RSI are neutral to bullish signalling that additional strength is possible nearterm. If it extends the rally off September's low, monthly resistance crossing is the next upside target. Closes above the 20day moving average crossing are needed to confirm that a shortterm bottom has been posted.

FX - SWISS FRANC

THE SWISS FRANC closed higher on Friday and the highrange close sets the stage for a steady opening when Monday's night session begins trading. Stochastics and the RSI are bullish signalling that sideways to higher prices are possible nearterm. If it extends this month's rally, the 38% retracement level of the JulyDecember decline crossing is the next upside target. Closes above the 20day moving average crossing would confirm that a shortterm low has been posted.

FX - STERLING

STERLING closed sharply lower on Friday . The lowrange close sets the stage for a steady to lower opening when Monday's night session begins trading. Stochastics and the RSI are bearish signalling that sideways to lower prices are possible nearterm. If it renews this month's decline, November's low crossing is the next downside target. Closes above the 20day moving average crossing are needed to confirm that a shortterm low has been posted.