EUR/USD: Euro is currently trading at 1.4177 levels. Euro is weak vs. the dollar on speculation the ECB will signal a little dovish tone with slower pace of interest rate increases at its meeting tomorrow. Support is seen around at 1.4076 levels (200 days daily EMA) while resistance is seen at 1.4263 levels (100 days daily EMA). EUR/INR (63.01): Exporters can cover short term exposure at 63.50 levels while importers can cover short term exposure at 62.50 and below. EUR/INR is likely to trade in the range of 62.75 -63.22 levels today. Short term: Bearish. Medium term: Bearish. Target 1.3800-1.4000 levels.
GBP/USD: Sterling is currently trading at 1.6268 levels. Sterling collapsed tracking the weaker Euro against the dollar. Support is seen at 1.6207 levels (200 days 4hrly EMA) and resistance is seen at around 1.6329 levels. GBP/INR (72.20) Exporters can cover short term exposure at 72.50 while the importers can wait to hedge near 71.50 levels. GBP/INR is likely to trade in the range of 71.70 - 72.50 levels today. Short term: Bearish. Medium term: Bearish. Target - 1.5800 levels
AUD/USD: The Aussie is trading currently at 1.0713 levels after making the low of 1.0678 levels. The commodity currency collapsed drastically vs. the dollar as Retail Sales m/m data and Trade Balance data came out weaker than expected this morning even though RBA Governor signalled he will raise interest rates when global risks decreases. Support is seen at 1.0628 levels (100 days daily EMA) and resistance is seen at 1.0851 levels (21 days daily EMA). Exporters are suggested to book exposure at 1.0850 while Importers can partially cover their near term exposure at 1.0600 levels. Short term: bullish. Medium term: bearish. Target 1.0700 achieved
USD/JPY: Yen is currently trading at 77.50 levels. The yen weakens versus the greenback before the Bank of Japan sets monetary policy this week amid expectations it will take steps to counter the currency's strength in recent days. Support is seen at around 76.97 levels while resistance is seen at 78.43 levels (21 days daily EMA). Yen Exporters are suggested to book exposure at current levels and Importers can cover above 80.00 levels. Outlook: Short term to medium term: Maintain bearish for the pair. Target 76 levels.
Oil: Oil is currently trading at 93.40 levels. Oil fell on speculation that slowing US economy will result in to a reduction in the fuel demand by the world's largest oil consuming nation. Support is seen at around 92.17 levels while resistance is seen at 95.99 levels (200 days daily EMA). Outlook: Short term bearish and medium term bearish. Target 95 achieved.
Gold: Gold is currently trading at 1655.16 levels after making another record high of 1661.47 levels. Gold is positive as investors are worried that the global recovery may be losing momentum thus increasing demand for the yellow metal. Support is seen at around 1628.27 levels while resistance is seen at around 1700 levels. Outlook: Medium term Bullish. Target 1650 achieved.
Dollar Index: DI is currently trading at 74.54 levels. Dollar is positive against its major peers as Investors took long positions in US dollars and treasuries on the back of US House of Representatives decision to raise the US debt ceiling limit by at least $2.1 trillion and cut spending by $2.4 trillion or more. Support is seen at around 73.56 levels (Trend Line support) and Resistance is seen at around 75.00 levels. 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.