EUR/USD: Euro is currently trading at 1.4225 levels. Euro collapsed vs. the greenback on rumors of an imminent downgrade of France but all the three major rating agencies affirmed the country's AAA rating. Yesterday French Industrial Production m/m data came out weaker at -1.6% vs. the expectation -0.1%. Support is seen at around 1.4147 levels while resistance is seen at 1.4298 levels (55 days daily EMA). EUR/INR (64.54): Exporters can cover short term exposure at current levels while importers can cover short term exposure at 63.90 and below. EUR/INR is likely to trade in the range of 63.90-64.65 levels today. Short term: Bearish. Medium term: Bearish. Target 1.3800 levels.
GBP/USD: The Pound is currently trading at 1.6171 levels. The pound continues to be weak against the dollar as Bank of England cut its economic growth forecast yesterday amid continuing debt crisis in Euro zone which is also affecting the UK economy. Support is seen at 1.6127 levels (200 days daily EMA) and strong resistance is seen at 1.6238 levels (55 days daily EMA). GBP/INR (73.24) Exporters can cover short term exposure at 73.60 while the short term importers can cover on dips towards 72.80 levels. GBP/INR is likely to trade in the range of 72.80 – 73.70 levels today. Short term: Bearish. Medium term: Bearish. Target - 1.5800 levels
USD/JPY: Yen is currently trading at 76.68 levels. Yen continues to be strong against the US dollar as safe haven buying continues. Support is seen at around 76.24 levels while resistance is seen at 77.17 levels (21 days 4 hourly EMA). Yen Exporters are suggested to book exposure at current levels and Importers can cover above 78.50 levels. Outlook: Short term to medium term: Maintain bearish for the pair. Target 76 levels
AUD/USD: The commodity currency is currently trading at 1.0228 levels. MI Inflation Expectations, Employment Change and Unemployment Rate figures came out weaker than expected this morning. Rise in unemployment rates are prompting investors to increase bets that the RBA will lower the interest rates. Support is seen at 1.0138 levels and resistance is seen at 1.0370 levels (200 days daily EMA). Exporters are suggested to book exposure near 1.0500 while Importers can partially cover their near term exposure at current levels and further on dips. Short term: bearish. Medium term: bearish.
Oil: Oil is currently trading at 82.12 levels. Oil is temporarily positive as shrinking US crude stockpiles has overcome the concerns of US and Euro zone weakness for now. Support is seen at around 80.35levels while resistance is seen at 87.16 levels (55 days 4 hourly EMA). Outlook: Short term bearish and medium term bearish.
Gold: Gold again made an all time high of 1814.84 today and is currently trading at 1796.43 levels. Gold continues to rally amid global weakness. Support is seen at around 1714.47 levels while resistance is seen at around 1830 levels. Outlook: Medium term Bullish.
Dollar Index: DI is currently trading at 74.84 levels. Dollar is positive amid global risk aversion as Investors continues to flee to the safety of risk havens. Support is seen at 74.52 levels (21 days daily EMA) and Resistance is seen at 75.20 levels (100 days daily EMA). Outlook remains Slight
bullish for Short Term and Medium Term: Bullish Target 76 levels
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.