India Forex Advisors Market Commentary 11-Jan-2009

By IBTimes Staff Reporter | January 11 2010 2:32 AM

Euro : EURUSD unable to break below 1.4250 levels and is currently trading at 1.4500 levels and our recommendation of buying close to 1.434 -1.4380 levels is fetching profits. Room is there till 1.46 levels and sustained break above 1.46 levels on upside would make the bias clearly bullish (EURUSD-1.4515).Rangebound to Bullish.

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Sterling : GBP took dips below 1.60 levels but most likely to reach close to 1.6220 levels.Buying at dips remains the strategy for now and avoid any shorts in the current scenario till we continue seeing strength in Dollar Index and Euro .Stochastic is weekly is showing buying signals . (GBPUSD 1.6089) Rangebound to Bullish.

Yen : The JPY is currently trading at near its downward trendline resistance and strength in yen still prevails. Levels close to 93 remains strong technical resistance plus stochastic in weekly charts are also showing strength in yen. Cautious shorts can be initiated near 93 levels for the target of 90 levels with tight stoploss of 150 pips. Trend still bullish for yen below 93 levels (USDJPY- 92.25) Bullish.

Aud : The AUDUSD is holding strong and buying at dips remains the overall strategy. (AUDUSD - 0.9310) Bullish.

Gold : GOLD seems a good buy between $1133 levels to $1142 levels for a target of 20 dollars. Do not short the metal since it seems quite bullish. (GOLD - $1153.35) Bullish.

Dollar Index: Dollar The Index is in a consolidation mode and fall from 78.45 might extend further and another fall to below 77.09 cannot be ruled out. We'd continue to expect downside to be contained by 38.2% retracement of 74.19 to 78.45 at 76.82 and bring rally resumption. (DI - 77.00). Neutral.