USDINR : The Rupee depreciated against the USD in yesterday's trading session to close at 46.68. Rupee closing above its 21Day but below its 55 Day EMA in daily chart.14-Day RSI is at 53 levels. For the day, support is seen at 46.46/46.35 whereas resistance is seen at 46.80/46.90.(USDINR 46.55) Neutral.
EURUSD : The Euro weakened against the dollar on Wednesday after data showed that tame underlying US inflation and a decline in housing starts last month, suggested that a US recovery could be slow. Slow economic growth could stall a global recovery and that could prompt investors to pare risky trades in higher- yielding currencies and assets. Risk aversion in the yesterday's trade led to lower demand for the Euro. Today, the ECB President Trichet is expected to speak and may give further indication of economic status. For the day, support is seen at 1.4850/1.4780 whereas resistance is seen at 1.4980/1.5035.(EurUsd 1.4924). Cautious Bullish
GBPUSD : GBP fell yesterday despite the good money supply and Y/Y retail sales data and tested our first target of 1.6605 levels. The current range sterling can hold could be between 1.6580(21 daily EMA) and 1.6710(21 H4 EMA) levels. Thus cautious selling around 1.67 levels with a stop-loss can be initiated with the initial target of 1.6615 and then 1.6580 levels where cautious buying can be initiated. (GBPUSD 1.6655) Range bound.
USDJPY : USDJPY has been trapped in 89.40 - 88.70 area this week indicating consolidation, moving not more that 100 pips so far. The stochastic is overbought. Crucial support is near 88.10 levels (recent low) and the crucial resistance of $90.90 levels (55 daily EMA). Either side breakout would determine the change in bias for the pair. Initiate buying around 88.10 levels keeping Stop loss 87.50 targeting 90.40.( USDJPY 88.90) Bullish
AUDUSD : AUDUSD attempted to push lower yesterday, slipped below 0.9190 levels (21 Days Ema) support area, bottomed at 0.9132. Daily stochastic are showing slight downside and if Aussie manages to hold crucial support of 0.9060 levels (Trend line Support) then it has the potential to re-test 0.9420 levels as well. Buying around 0.9060 - 9100 levels keeping stop loss below 0.9000 can be considered.(AUDUSD 0.9194) Bullish (Refer chart below).
Gold : Gold traded lower yesterday between $1145 and $1129 levels. However, again rebounded to $1144 levels currently. The fall in commodities was due to resuming dollar strength but apart from dollar's strength, gold plunged as a report from the World Gold Council showed that demand (Identifiable end-use consumption excluding central banks) dropped -34% in 3Q 09 as elevated gold price constrained consumption. Charts are flat as of now, and gold might trade in a thin range today. (GOLD $1144.20).Range bound.
Dollar Index: The Dollar Index strengthened as risk aversion in the financial markets led to demand for the low-yielding currencies. A decline in equities led to buying in the dollar that supported the index higher. The Dollar Index (DX) gained in yesterday's trading session to close at 75.26. It is trading below its 21Day and EMA. 14-Day RSI is at 48 levels. For the day, support is seen at 74.95/74.80 whereas resistance is seen at 75.60/75.80.(DI- 75.26) Neutral