OSB Daily Technical Analysis for December 15, 2014

EURUSD rallied back above the 20 DMA pushing above 1.2450 resistance. Next resistance above at 1.2475-85. Upside momentum build up gathering pace with possible push towards 1.25 handle. A close above likely to give market extra push higher as shorts get stopped out in this area. Short term bullish on the EUR.

GBPUSD traded in a tight range on Friday managing to find support on the 20 DMA 1.5720 area. Further support beneath at 1.5675-90. On the upside significant resistance above at 1.5780. A break above extends to 1.58 handle. Bounce likely to be short lived as upside pressure wanes due to lack of bulls in this market.

USDJPY held above the 20 DMA and managed to keep clear of the 118.00 handle throughout the session. A break below here suggests further downside possible extending into 116.80 area. Overall bullish sentiment remains as BoJ QE set to continue at least for now.

Bullish day for the USDCAD which finally managed to break well into the 1.15 handle and make a run for 1.16 stopping short by 10 pips. USDCAD appears to be heading higher and a close above 1.16 confirms this. Pullbacks at this point likely to be treated as entry points as opposed to triggering sustained sell-offs.

USDCHF ended the week on a negative note after being under sustained pressure throughout the week. Close below the 20 DMA suggests further downside possibly on the horizon. Support below at 0.9590-0.9600. Resistance on the upside now the 20 DMA at 0.9675 and above at 0.9690.

AUDUSD attempt to rally during the early session ran out of steam which saw the market ending the day on a negative note. Market at a critical point in the 0.8250 area. A decisive break beneath and violation of 0.82 handle extends to 0.80 in the medium/longer term. Any rallies in between likely to be short lived and without sustainability.

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