USDINR : The Indian Rupee depreciated on Wednesday, giving up gains made in the early part of the trade as the equities ended in the red. In the initial part of the trade, the Rupee touched a high of 46.12 as a higher start to domestic equities raised hopes of more capital inflows in the country. The Rupee could appreciate in the near-term but a sharp rise could be capped if the equities witness selling pressure. Rupee closing below its 21-Day EMA. 14-Day RSI is at 45 levels. For the day, support is seen at 46.15/46.00 whereas resistance is seen at 46.43/46.59.(USDINR - 46.24)Bullish
EURUSD : The Euro weakened against the dollar on Wednesday as risk aversion in the later part of the day led to lower demand for the higher-yielding Euro. Markets will wait to hear the outcome of the ECB's meet today. The currency could face downside pressure ahead of the meet as markets remain wary of the ECB's stance. The ECB is due to outline the first steps to scale back its crisis-time bank support measures. Any indication of a rise in interest rates in the future could boost the Euro. The 14-Day RSI is at 59 levels. For the day, support is seen at 1.4985/1.4910 whereas resistance is seen at 1.5090 /1.5140. (EURUSD-1.508) Cautious Bullish.
GBPUSD : The Sterling (GBP) rose to the highs of 1.6695 levels yesterday and is currently facing the initial resistance of 1.6745 and next resistance of 1.6860 levels. Selling around these levels can be expected for the initial target of 1.6575 (21 Daily EMA) and then 1.6335(cluster support in the Weekly chart). (GBPUSD - 1.6679) Rangebound.
USDJPY : The Japanese Yen (JPY) was trading strong yesterday from the lows of 86.59 levels making a high of 87.47 levels. Currently it is trading at 87.76 and the next resistance comes in at 88.40 (21 EMA and 50% retracement) from where cautious selling can be expected. (USDJPY 87.76) Bullish.
AUDUSD :AUDUSD is currently trading at 0.9277 levels. A minor support seen near 0.9200 levels(21Days EMA ) and crucial support at 0.9030 levels (55Days EMA) ,if breaks 0.9020 support and trades below this levels then it can push further down to 0.8800 levels. Initiate shorts near 0.9320 levels keeping stop loss 0.9410. (AUDUSD - 0.9272) Neutral.
Gold : Gold has been trading strongly past 3 trading session with a newer high each day. The high as of now is $1228 overseas and is not showing any signs of pullback. The economic or sovereign instability amid Dubai crisis and investors' demand for the safe haven commodity has been the main reasons for the rise in gold. (Gold - $1221) Bullish.
Dollar Index : The Dollar Index strengthened on Wednesday as the Federal Reserve said that the US economy had improved modestly since late October due to an up tick in consumer spending, manufacturing and housing sales. Treasury Sec Geithner said that the US Fed could intent to seal the $700 billion financial bailout program soon. This could also mean that US interest rates could rise sooner rather than later. Any further indication of a rise in interest rates in the US could boost the dollar. For the day, support is seen at 74.40/74.25 whereas resistance is seen at 74.75/74.90. (DI - 74.53)Neutral