Foreign Exchange Market Commentary

The EURO closed higher on Thursday as it extends Tuesday's rally above the 38% retracement level of the OctoberJanuary decline crossing. The highrange close sets the stage for a steady opening on Friday. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible nearterm. If it extends the rally off January's low, the 50% retracement level of the OctoberJanuary decline crossing is the next upside target.

The YEN closed higher on Thursday and the highrange close sets the stage for a steady opening on Friday. Stochastics and the RSI are turning neutral to bullish hinting that a shortterm bottom might be in or is near. Closes below the 20day moving average crossing would temper the nearterm friendly outlook. If it extends the decline off January's high, October's low crossing is the next downside target.

The SWISS FRANC closed lower on Thursday while extending the trading range of the past nine days. The midrange close sets the stage for a steady opening on Friday. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible nearterm. If it extends the rally off January's low, the reaction high crossing is the next upside target. Closes below the 20day moving average crossing would temper the nearterm friendly outlook.

STERLING closed lower on Thursday and The lowrange close sets the stage for a steady to lower opening on Friday. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible nearterm. If it extends the rally off this month's low, November's high crossing is the next upside target. Closes below the 20day moving average crossing would confirm that a shortterm top has been posted.