Foreign Exchange Market Commentary

EUR/USD posted an inside day and closed slightly higher on Thursday. The mid-range close sets the stage for a steady opening on Friday. Stochastics and the RSI are bullish signalling that sideways to higher prices are possible near-term. If it extends this week's rally, October's high crossin is the next upside target. Closes below the reaction low crossing are needed to confirm that a short-term top has been posted.

USD/JPY closed lower on Thursday as it consolidates below the 10-day moving average crossing. The low-range close sets the stage for a steady to lower opening on Friday. Stochastics and the RSI are bearish signalling that sideways to lower prices are possible near-term. If it renews this fall's decline, the 2001 low crossing is the next downside target. Closes above last week's high crossing are needed to confirm that a short-term low has been posted.

GBP/USD closed lower on Thursday as it consolidates below the 10-day moving average crossing. The low-range close sets the stage for a steady to lower opening on Friday. Stochastics and the RSI are bearish signalling that sideways to lower prices are possible near-term. If it renews this fall's decline, the 2001 low crossing is the next downside target. Closes above last week's high crossing are needed to confirm that a short-term low has been posted.

USD/CHF closed lower on Thursday as it consolidates below the 10-day moving average crossing. The low-range close sets the stage for a steady to lower opening on Friday. Stochastics and the RSI are bearish signalling that sideways to lower prices are possible near-term. If it renews this fall's decline, the 2001 low crossing is the next downside target. Closes above last week's high crossing are needed to confirm that a short-term low has been posted.

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