From what I've found with my own system, if there is a bank holiday during the week, prices seem to be pretty erratic regarding my setups for that whole week.
Xmas time is also a bit strange as you will find a lot of the commercial traders and large seculators reassessing their positions and sentiment for the coming year. Also there doesn't seem to be a lot of volume going on.
Whenever you have such large players adjusting trades and perhaps preparing new ones etc.. you will find a lot of erratic price movement.
January however has always produced great trades for me.
My suggestion is if you haven't traded around this time before, sit back and just watch price and see how it moves regarding your setups.
Get a feeling for how the currency of your choice moves and you will have a better idea of whether it's a wise idea to trade during this time.
If in doubt, take a well deserved break and come back re-energized in the new year.
As they say - the forex market will always be there
I agree with 3BlackCrows.It's very difficult to make a decent trade during public and bank holidays especially in the U.S. Chances are you probably end up with a losing trade.Best to stay on the sidelines till the next trading day.Just my 2 cents.