EUR/USD: Euro is currently trading at 1.4331 levels. Risk appetite resumes and the currency is positive vs. the dollar on a comment from an EU official who said Italy should be unaffected by debt crisis and private investors will be involved in any second rescue for Greece. Looking forward German ZEW Economic Sentiment data and ZEW Economic Sentiment data is expected weak. Support is seen around 1.4220 levels (100 days daily EMA) while strong resistance is seen at 1.4359 levels (100 and 200 days 4hrly EMA). EUR/INR (64.40): Exporters can cover short term exposure near 64.80 levels while importers can cover on dips near 63.50 levels. EUR/INR is likely to trade in the range of 64.10-64.70 levels today. Short term: Bearish. Medium term: Bearish
GBP/USD: The Sterling is currently trading at 1.6212 levels. Sterling is positive against the dollar, tracking a bounce in the Euro after comments from a top euro zone policymaker which calmed immediate fears about stability in the Euro zone region. Looking forward Public Sector Net Borrowing data and CBI Industrial Order Expectations data is expected weak. Support is seen around 1.6196 levels (21 days 4hrly EMA) and resistance is seen at 1.6253 levels (55 days 4 hourly EMA). GBP/INR (72.90) Exporters can cover short term exposure near 73.50 levels while the importers can look to hedge partially at 72.00 levels. GBP/INR is likely to trade in the range of 72.70-73.35 levels today. Short term: Bearish. Medium term: Bearish.
USD/JPY: Yen is currently trading at 80.15 levels. Yen continues to strengthen on speculation that investors are forecasting more strength in Yen, even as Japan falls into its third recession in a decade. All Industries Activity m/m data came out better this morning. Support is seen at 80.00 levels while resistance is seen at 80.33 levels (21 days 4hrly EMA). Yen Exporters are suggested to book exposure at 79.90 and Yen Importers can cover above 82.50 levels. Outlook: Short term to medium term: Maintain Bearish for the pair.
AUD/USD: The AUD is currently trading at 1.0545 levels. The commodity currency is under downward pressure as the RBA releases its Monetary Policy Meeting Minutes this morning that held on June 7, which showed that European debt crisis has forced Australian policy makers to leave the interest rates steady at 4.75%, indicating that the Bank will keep the rates unchanged until the year's ending. Support is seen at 1.0482 levels (100 days daily EMA) and resistance is seen around 1.0588 levels (55 days daily EMA). Exporters are suggested to book exposure around 1.0700 levels while Importers can cover partially their near term exposure at 1.0500 and further on dips. Short term: Neutral to slight bearish. Medium term: Maintain Bullishness.
Gold: Gold is currently trading at 1541.73 levels. Gold is positive as concern about Europe's debt crisis and weak global fundamentals continues to spur demand for an alternative safe heaven like gold. Support is seen at 1531.02 (21 days daily EMA) while resistance is seen at 1550 levels. Outlook: Medium term Bullish.
Oil: Oil is currently trading at 94.02 levels. Oil advanced as concern eased that Greece will default on its debt and disrupt the Euro zone economy, and before a report tomorrow that may show U.S. crude stockpiles dropped. Support is seen at 92.31 levels while resistance is seen at 95.99 levels (200 days daily EMA). Outlook: short term slight Bearish, Medium term Bullish.
These views/ forecasts/ suggestions, though proffered 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. Those acting in the market on the basis of these are themselves responsible for any profits or losses that might occur, without recourse to us. World financial markets, and especially the Foreign Exchange markets, are inherently risky and it is assumed that those who trade these markets are fully aware of the risk of real loss involved.