OSB Daily Technical Analysis for January 2, 2015

EURUSD hit new two year lows on the last trading session of the year. Market now almost at the bottom of its longer term range of 1.40-1.20. A break beneath the 1.20 handle likely to trigger a rebound as this is a very strong support level. Overall Euro remains weak with very little indication that we have reach a bottom.

GBPUSD attempt to rally faltered just beneath the 20 DMA where the 1.56 handle proved too resistive for now. Market appears to be in consolidation at the moment at the moment without much direction for either side. Resistance above at 1.5620-35. Support on the downside 1.5525-50.
 

USDJPY had a positive session on Wednesday to end the year but fell short of breaking above the 120.00 handle on a light trading day with Japan on holiday. A break above the 120 handle extends to recent highs in the 120.70-80 area. Market well supported at the 119.25 level.

The USDCAD declined during most of the session on Wednesday only to manage a close at evens on the day. Support at 1.1560-80 held back any further decline with support beneath at 1.1550. Close above 1.16 suggests upside momentum remains with further upside imminent once markets are back in full swing after the holidays.

USDCHF broke to a new high on the day with upside momentum showing no signs of abating at least for now. Next resistance level at 0.9970-80 area. A break above extends to a test of the big round 1.00 figure. Sell offs likely to be short lived at this level with bulls in full control of USDCHF market.

Negative day for the AUDUSD giving back some of the gains from the previous session. Resistance in the 0.8210-20 area proved too strong for now with no follow through from bulls to keep upside pressure on. A resumption of downtrend likely to see pair testing 0.81 handle with support just above at 0.8120.

 

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