EUR/USD: Euro is currently trading firm versus dollar at 1.4371 levels. Euro is trading weak against the dollar due to expectation of poor German business confidence reports, adding to signs Europe will struggle to contain its sovereign debt crisis. Looking ahead German IFO Business Climate and Industrial New Orders m/m data is expected weak. Support is seen at 1.4337 levels (100 days 4hrly EMA) while resistance is seen at around 1.4444 levels. For EUR/INR it is recommended to sell at 67.00 levels. Exporters can cover short term exposure at current levels while importers can cover exposure at 64.00 and below. EUR/INR is likely to trade in the range of 65.20 - 66.00 levels today. Short term: Bearish. Medium term: Bearish. Target 1.3800 levels
GBP/USD: The Pound is currently trading at 1.6480 levels. The cable is weak vs. the dollar due to weak euro and slight risk aversion in the market. Support is seen at 1.6435 levels (55 days 4hrly EMA) and resistance is seen at around 1.6536 levels. GBP/INR (75.44) Exporters can cover short term exposure at current levels while the short term importers can cover on dips towards 73.00 below levels. GBP/INR is likely to trade in the range of 74.90 - 75.60 levels today. Short term: Bearish. Medium term: Bearish. Target - 1.5800 levels. Short term: Bearish. Medium term: Bearish. Target - 1.5800-1.6000 levels
USD/JPY: Yen is currently trading at 76.62 levels. USD/JPY erased an earlier decline after Finance Minister Yoshihiko Noda's announcement of a $100 billion credit line to companies, as a step to cope with the yen's recent spike to record highs. Japan's debt rating was lowered to Aa3 by Moody's which cited weak prospects for economic growth and that will make difficult for the government to rein in largest debt burden. Support is seen at around 76.45 levels while resistance is seen at 77.17 levels (21 days daily EMA). Yen Exporters are suggested to book exposure partially 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 again and below.
AUD/USD: Australian dollar is currently trading at 1.0476 levels. RBA deputy Governor made it clear that RBA believes the strength of the Australian Dollar is appropriate according to the current terms of trade and high commodity prices. Construction Work done q/q data came out weaker in the morning. Support is seen at around 1.0376 levels (200days Daily EMA) and resistance is seen at 1.0573 levels (55 days Daily EMA). Exporters are suggested to book exposure near 1.0500 while importers can partially cover their near term exposure at 1.0200 and further on dips. Short term: bearish. Medium term: bearish. Target 1.000 levels again.
Gold: Gold is currently trading at $1847.90 levels after making record high of $1912levels yesterday. Gold is slightly under selling pressure as some Investors book profits after the metal breached the 1900 mark on concerns that parabolic move seen in gold is slightly unsustainable. Support is seen at around 1766 levels (21 days Daily EMA) while resistance is seen at around 1912 levels. Outlook: Medium term Bullish. Stay Cautious on longs
Oil: Oil is currently trading at 82.31 levels. Support is seen at 84.66 levels (21 days 4hrly EMA) while resistance is seen at 86.78 levels (100 days daily EMA). Outlook: Short term bearish and medium term bearish.
Dollar Index: DI is currently trading at 73.87 levels. Dollar is slight steady due to slight risk aversion today in the market. Support is seen at around 73.53 levels (Trend Line support) and Resistance is seen at 74.23 levels (21 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.