EUR/USD closed lower on Tuesday and below the 10-day moving average crossing signalling that the corrective rally off August's low appears to have ended. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are turning neutral hinting that additional weakness is possible near-term. Closes below the reaction low crossing would renew the decline off August's high. If it extends last week's rally, the reaction high crossing is the next upside target.

USD/JPY closed lower on Tuesday and the mid-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are bearish signalling that sideways to lower prices are possible near-term. Closes above the reaction high crossing are needed to confirm that a short-term low has been posted.

GBP/USD closed lower on Tuesday as it consolidates around the 38% retracement level of the May-August rally crossing. The mid-range close sets the stage for a steady opening on Wednesday. Stochastics and the RSI are turning bullish hinting that a short-term low might be in or is near. Closes above the 20-day moving average crossing would temper the near-term bearish outlook. If it extends last month's decline, the reaction low crossing is the next downside target.

USD/CHF closed lower on Tuesday as it extends this summer's decline. The low-range close sets the stage for a steady to lower opening on Wednesday. Stochastics and the RSI are overbought and are turning neutral to bullish signalling that at the very least a correction is possible. Closes above the 20-day moving average crossing would confirm that a short-term low has been posted. If it extends this summer's decline, the 2009 low crossing is the next downside target.