Rupee was pulled down to 47.74 yesterday at the back of a stronger dollar and weak Asian Currencies. The Indian stock market also tanked 430 points. The overall outlook remains strong for Rupee in the medium term with immediate retracement resistance at 47.92. Exporters should look for opportunities to sell around those levels. (USD/INR : 47.70). Medium Term Bullish.
Euro shed 200 pips in yesterday€™s session testing the lows of 1.38. Immediate cluster resistance comes around 1.4020 (in hourly and 4-hourly charts). Cautious selling around 1.40 for a target of 100 pips and stops above 1.4050 could be considered. Immediate support comes at 1.3780 (38.2% of the recent rise). (Eur/Usd:1.3877). Bullish only above 1.3750.
Cable firmed 200 pips, taking strong support at 1.5800 (as expected) from the 21 Daily EMA & Channel trendline. Immediate cluster resistance in 4-hourly chart comes around 1.6085 with the charts getting overbought. Cable may take resistance there and retrace upto 1.5850 support levels. The overall trend however remains bullish with no clear trend reversal signs. Consider buying around 1.5870 for 100 pips profit and stop below 1.5790. (Gbp/Usd: 1.6004). Short term Bullish
Dollar-Yen pair continued to trade below the 99 resistance levels (55 Weekly EMA). The daily chart is overbought and holding below 99 can bring a pull back upto 96.85 levels (Cluster EMA in daily chart). The outlook for the pair would become bullish above 99 levels targeting 102. (USD/JPY 98.06). Bearish only below 99.30
Aussie fell 160 pips to take support around 0.7826 (21 Daily EMA). The charts continue to indicate further downside with immediate resistance now at 0.7950 (21 & 55 EMA in 4-hourly chart). Decisive break of this support can push Aussie further lower to 0.7625 € 0.7665 (50% Retracement of the recent rally & 200 4-hourly). Thus, buying can be considered around 0.7665 levels for 100 pips. (Aud/Usd: 0.7977). Neutral.
Gold took minor support around $943 (38.2% Retracement of the recent rise). The charts continue to indicate selling bias in Gold and decisive break of this support can take Gold to $925 cluster support (long term trendline, 50% Retracement & 55 Daily EMA). Initiate longs around $925 for $15-20. (Gold- $949.40). Bullish
DX surged to 81.46 levels (38.2% retracement resistance) yesterday before settling below 81 levels. The stochastic is yet to correct towards overbought region with 81.50 remaining as a strong resistance. Cautious shorts at up-ticks could be considered. Overall Bearish. (DI- 80.97)
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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