EURUSD : EURO has taken a strong 21 days EMA support in the weekly charts and holding below the 100 day EMA in daily charts. Break of 1.46 would target 1.42 levels in Euro. Bias still maintains bearish and shorts close to 1.4720 can be taken for target 1.46 and lower. (EURUSD - 1.4671) Bearish
GBPUSD : Cable has taken crucial support again at 1.62 levels. Currently it has been trading in a thin range but still looks bearish in near term. A break below 1.62 levels would target 1.5850 (weekly lower Bollinger) levels soon. It is important that 1.62 is a very strong support of the long term weekly trendline.Shorts close to 1.64 levels can be done targetting 1.62 support again. (GBPUSD- 1.6309) Bearish.
USDJPY : The JPY looks to be range-bound today between 89 levels on the higher side and 88.35 levels on the lower side. A break of the 89 levels can lead it to test the next important resistance of 89.40(55 daily EMA). The daily charts are moving higher while the H4 charts are flat near the over-bought region. (USDJPY- 88.56)Neutral.
AUDUSD : AUD is trading below the weekly trendline resistance and we are looking at 0.8800 levels soon. Shorts at 0.9150- 0.9200 levels can be initiated for 200 pips.(AUDUSD - 0.9108) Neutral to Bearish.
Gold : Gold's fall from 1227.5 extended further to as low as 1110.2 last week and the break of 1130.1 support, as well as the sustained trading below the near term channel, indicates that rise from 931.3 has likely made a top already. Initial bias will remain on the downside this week as long as 1148.4 resistances hold. Further decline should be seen to 50% retracement of 931.3 to 1227.5 at 1079.4 next. On the upside, above 1148.4 will turn intraday bias neutral and bring recovery.(Gold - $1125) Neutral to Bearish.
Dollar Index : The Dollar Index traded slightly lower as a pick-up in risk appetite led to decreased demand for the low- yielding currency. The Dow Jones closed in the positive territory, gaining 68 points yesterday to close at 10,405. Data indicated that the US trade deficit unexpectedly narrowed to $32.9 billion in October with the help of a weaker dollar. The US is expected to announce a host of economic data like retail sales, consumer sentiment and inflation expectations today. The dollar will take cues from the data and movement in equities. We expect the dollar to trade with a positive bias and strengthen. For the day, support is seen at 75.85/75.65 whereas resistance is seen at 76.80/77. (DI - 76.27) Neutral