Rupee: Rupee ended at 47.75/77 per dollar yesterday, rebounding from 47.26 lows and taking the three day gains to 4.3%. A close watch on the stock market is being kept for direction. However, upside resistance comes around 48.60 levels. Exporters can start booking near term contracts at upticks. (USD/INR : 47.73).
Euro: Euro jumped 137 pips to 1.3667 levels after better than expected ZEW sentiment data. Technically, the daily and hourly charts continue to indicate an upside. Immediate resistance comes at 1.3737 (previous high) breaking which Euro can surge upto 1.3845 (61.8% of the fall in weekly charts). Buying around 1.3575 (21 4-hourly EMA) can be considered for a short intraday gain. Further long positions could be initiated around 1.3450 levels (21 Daily EMA. (Eur/Usd:1.3590). Short Term Bullish.
Pound:Cable surged close to 230 pips to 1.5522 levels taking resistance from the channel trendline (refer chart in the website). The daily charts continue to show an upside while the 4-hourly has become flat in the overbought region. Break above yesterday€™s high can push Cable towards 1.5590 levels. Buying could be considered at corrections around 1.5335 (21 4-hourly EMA) and 1.51 levels (38.2% of the rise in Daily and 21 Daily EMA). Stay cautious on short. (Gbp/Usd: 1.5467).
Yen: The momentum of the Usd/Jpy pair was capped at 96.68 yesterday from where it fell to 95.50 in the early trade today. All the major charts are oversold and some buying pressure may come in the pair. However, strong resistance remains at 96.90 where shorts in the pair could be considered (Usd/Jpy: 95.60).
Australian Dollar: Aussie surged to 0.7782 levels as expected to take resistance from the 100 & 200 Weekly EMA and retraced to 0.7685 levels as per our expectation. The 4-hourly charts indicate slight downside, however the daily charts have not yet reached the overbought region. Break above 0.7790 resistance can push Aussie towards 0.7925 (50% Retarcement of the fall).Buying around 0.7645 (21 4-hourly EMA) could be considered for 80-90 pips. (Aud/Usd: 0.7693)
Gold: Gold took support around $917 witnessing sideways trading yesterday before closing at $924. The daily and 4-hourly chart is indicating slight selling pressure with support from 21 Day EMA coming in at $912. Buying around those levels could be considered for $10-$12. The outlook remains bullish for Gold above $895 (100 Daily EMA). (Gold- 927.62)
Dollar Index: Dollar Index strongly weakened to 82.20 (minor support) levels as expected. The stochastic is highly oversold and a small rebound is probable. The overall outlook remains bearish for DX below 83.20 levels and a break of 82.20 support can bring a fall upto 80.20 support (refer chart in the website) (DI- 82.20).
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These views/ forecasts/ suggestions, though proferred with the best of intentions, are based on our reading of the market at the time of writing. They are subject to change without notice.Though the information sources are believed to be reliable, the information is not guaranteed for accuracy.