HY Markets Daily Forex Analysis

EUR/USD closed slightly lower on Tuesday and above broken trading range support crossing. The high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI remain neutral to bullish signalling that additional gains are possible near-term. If it extends the rally off this month's low, the 62% retracement level crossing is the next upside target. Closes below the 20-day moving average crossing would confirm that a short-term top has been posted.

USD/JPY closed lower on Tuesday and the mid-range close sets the stage for a steady opening on Wednesday. Stochastics and the RSI are bullish signalling that sideways trading is possible near-term. If it renews the decline off August's low, the 25% retracement level of the April-August decline crossing is the next downside target.

GBP/USD closed higher on Tuesday as it extended this month's rally. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible near-term. If it extends the rally off last Thursday's low, the 62% retracement level of the August-October decline crossing is the next upside target. Closes below the 20-day moving average crossing would confirm that a short-term top has been posted.

USD/CHF closed lower on Tuesday and the low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are turning neutral signalling that sideways to higher prices are possible near-term. If it extends the rally off August's low, the 50% retracement level of the 2010-2011-decline crossing is the next upside target. Closes below last Friday's low crossing are needed to confirm that a short-term high has been posted.

Gold closed higher on Tuesday and the high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are bearish signalling that additional weakness is possible near-term. If it renews the decline off September's high, the 38% retracement level of the 2008-2011-rally crossing is the next downside target. Closes above Monday's high crossing are needed to confirm that a short-term low has been posted.

Silver closed higher on Tuesday as it consolidates above the 50% retracement level of the 2008-2011-rally crossing. The high-range close set the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are turning bearish signalling that sideways to lower prices are possible near-term. If it renews the decline off August's high, the 62% retracement level of the 2008-2011-rally crossing is the next downside target. Closes above the reaction high crossing are needed to confirm that a short-term low has been posted.

DJI closed lower on Tuesday as it extends this month's rally. The low-range close sets the stage for a steady to lower opening on Tuesday. Stochastics and the RSI remain bullish signalling that sideways to higher prices are possible near-term. SPI closed higher on Tuesday as it extends this month's rally. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible near-term. NDI closed lower on Tuesday as it consolidated some of this week's decline. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are turning bearish hinting that a short-term top might be in or is near.

Crude Oil closed higher on Tuesday and above the May-July downtrend line crossing. The high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are turning neutral to bearish signalling that a short-term top might be in or is near. Closes below the 20-day moving average crossing are needed to confirm that a short-term top has been posted. If it extends the rally off this month's low, the 38% retracement level of the May-October decline crossing is the next upside target.

Natural Gas closed higher on Tuesday as it extends this week's trading range. The high-range close sets the stage for a steady to higher opening on Wednesday's night. Stochastics and the RSI remain bullish signalling that sideways to higher prices are possible near-term. If it extends the rally off this month's low, the 25% retracement level of the June-October decline crossing is the next upside target.

Coffee closed lower on Tuesday and the low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are bullish signalling that sideways to higher prices are possible. If it extends this month's rally, the reaction high crossing is the next upside target.