India Forex Advisors / Market Commentary / 15_April

By IBTimes Staff Reporter | April 15 2010 3:37 AM

The EURUSD is currently trading at 1.3640 levels. It has moved 200-300 pips as expected. We do not see immediate bearishness below 1.3260 levels. Sell on upticks atleast 50% remains the strategy from 1.3640 - 1.3700 levels for exporters for April . Importers have already taken significant covers near 1.33 levels earlier (refer last week update). Please note that the Monthly charts are signalling that Euro is highly oversold and may strengthen further till 1.38-1.40 levels in the coming 1-2 months. (EURUSD - 1.3640). - Bullish .

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GBPUSD is currently trading at 1.5507 levels. We might get retracements above 1.55-57 levels. Look at opportunities to go shorts on upmoves or cover exports till April end around 1.55-1.58 levels. GBP/INR cover exports at 69 levels onwards. Near term imports are already covered for clients (refer last week update) around 67-68 levels. (GBPUSD 1.5507). Please note that the Monthly charts are signalling that GBP is highly oversold and may strengthen further till 1.58-1.60 levels in 1-2 months. - Turning Bullish.

USDJPY is currently trading 93.30 levels. Yen is taking strong resistance near 93.80 , break of this it would move towards 98 levels. Weekly close above 92 levels has increased chances for a move towards a 96-98 levels. Importers hold for covers till 95 levels atleast. Buys could be initiated at dips around 92.50-93 levels stoploss at 89 levels. Exporters who have not booked book for 2-3 months at 93 levels. (USDJPY- 93.30). Bearish heading towards a 96-98 levels by April end. Long Term (3-6 months) Target 100 and higher .

AUDUSD is currently trading at 0.9338 levels. Importers cover on dips. Exporters in Aud may start booking from 0.9350 onwards partially. Since the Aud has increased interest rates and Gold is holding above 1135 dollars we would stay away from shorts. (AUDUSD - 0.9338). Bullish.

Gold is currently trading at $1156 levels and it is continously moving up as expected. The bias is clearly on the upside since it has broken the band of 1080-1130 levels. Buy on dips remains strategy.(Gold- $1156) Bullish.

Dollar Index would possibly spiral down to 79.51 and below, as dollar would be pressured by more strength in crude oil. Nevertheless, as the impulsive nature of the rise from 74.19 affirmed our view that dollar index has bottomed at 74.19 already, we'd expect current pull back from 82.24 to be contained by 50% retracement of 74.19 to 82.24 at 78.21 and bring another medium term rally (Dollar Index 80.20) Neutral.