Technical Outlook

:EUR: Euro is currently trading at 1.4790 levels. The Euro approached a 16-month high against the dollar on speculation that ECB intends to raise interest rates Euro is currently trading at 1.4794 levels. Euro broke 1.4900 but reversed sharply from the key level, many investors are now looking for the ECB to provide the bulls fuel for a 1.5000 levels as the differing monetary policy is exposed. Looking ahead today is the March PPI forecast at 0.6% vs. 0.8% previously. Near term support is seen at 1.4760 (Low of 01.05.2011) and 1.4686(55day 4hr EMA) while the resistance is seen at 1.4881(Recent high). EUR/INR is at (65.73). Exporters can cover at current levels for May exposure while importers can cover below 64.10 and further on dips. EUR/INR is likely to trade in the range of 65.35-65.85 levels today. Short term: Bullish. Medium term: Maintain Bullishness.

GBP: GBP is currently trading at 1.6620 levels. The Sterling was weaker against major currencies, on resurgent in dollar buying. Looking ahead, Manufacturing PMI forecasted at 57.0 vs 57.10 and Sterling usually reacts strongly to this data. Immediate resistance is seen near 1.6743(Recent High), followed by 1.6990 and the support seen at 1.6540 (55day H4 EMA). GBP/INR is at (73.80). Exporters should cover near term exposure at current levels while the importers can look to hedge near 73.30 levels and further on dips. GBPINR is likely to trade in the range of 73.40-73.95levels. Short Term: Bullish. Medium term: Maintain bullishness.

JPY: The Japanese Yen (81.03) depreciated against the dollar after the announcement that Osama bin Laden was killed by US military in Pakistan. The subsiding of terrorism threat is giving rise to risk-appetite resulting in more of Yen selling and dollar buying. No data are schedule for release today on account of Japanese Bank Holiday. Resistance is seen near 82.07 (21 days Daily EMA) while support is seen near 80.65 levels. Yen Exporters are suggested to book exposure at current levels and Yen Importers can cover very partially at 84 plus levels. Short term: Slight Bullish for the pair.

AUD: Australian dollar jumped to new record high above 1.1000 against dollar before retreating mildly. The RBA will likely leave the cash rate unchanged at 4.75% today despite accelerating inflationary pressures. Resistance is seen at 1.1010 levels (Recent high) while Support is seen at 1.0910 levels (21 days 4hrly EMA). Exporters are suggested to book exposure at current levels while Importers can cover their exposure near 1.0700 regions and on dips. Short Term: Bullish. Medium term: Maintain Bullishness.

Oil: Crude oil is currently trading at $112.91 levels. The crude oil price surged to a new 31-month high of 114.83 after plunging to as low as 110.82. Resistance is seen near $114.83 (Recent High), while support is seen near $110 levels. Short term to Medium term: Maintain Bullishness.Gold: Gold is currently trading at 1548 levels and touched high of 1574 levels. Gold held steady today, as investors see little change in the metal's safe-haven appeal. Resistance is seen at 1600 levels and Support is seen at 1540 levels (21 days daily EMA). Short Term: Bullish. Medium term: Maintain Bullishness.

Dollar Index: Dollar Index is currently trading at 73.07, up by 0.03%. Dollar was mildly higher on news that Al Qaeda leader Osama Bin Laden was killed by a US led operation. ISM manufacturing index dropped less than expected to 60.5 in April while Construction spending raised 1.4% m/m in March. Near term support is seen at 72.83 levels and resistance is seen near 74.30 levels (21 days Daily EMA). Outlook remains bearish for Short Term and Medium Term: Bullish (Post July).