EUR/USD: Euro is currently trading at 1.4030 levels. The Euro continues to trade weak vs. the greenback on concerns that Euro zone debtcrisis will spread after German factory orders declined yesterday indicating further weakness in Euro zone. Looking ahead German Industrial Production m/m data is expected better. Support is seen at 1.4000 levels (psychological support) while resistance is seen at 1.4138 levels (200 days daily EMA). Exporters can cover short term exposure at 65.50 while importers can cover exposure at 64.00 levels and below. EUR/INR is likely to trade in the range of 64.30 - 64.90 levels today. Short term: Bearish. Medium term: Bearish. Target 1.4000 levels achieved.
GBP/USD: The Pound is currently trading at 1.5971 levels. The cable is also weak vs. the greenback amid weakness in UK economy, increasing bets by investor's that BOE will soon introduce monetary stimulus to spur growth in the stagnating UK economy. Looking ahead Halifax HPI m/m and Manufacturing Production m/m data is expected better. Support is seen at around 1.5913 levels and resistance is seen at 1.6166 levels (200 days daily EMA). GBP/INR (73.59) Exporters can cover short term exposure at 74.10 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 73.30 - 74.10 levels today. Short term: Bearish. Medium term: Bearish. Target 1.6000 levels achieved.
USD/JPY: Yen is currently trading at 77.38 levels. Support is seen at 76.95 levels (21 days daily EMA) while resistance is seen at 77.88 levels (55 days daily EMA). Yen Exporters are already suggested to book exposure at 76 levels and Importers now can cover above 78.50 levels. Outlook: Short term to medium term: Maintain bearish for the pair. USD/JPY pair can move toward 78 levels.
AUD/USD: Australian dollar is currently trading at 1.0572 levels. The commodity currency is positive vs. the greenback amid better thenexpected GDP q/q data this morning. Support is seen at 1.0402 levels (200 days daily EMA) and resistance is seen at around 1.0705 levels. Exporters are suggested to book exposure at current levels while importers can partially cover their near term exposure at 1.0350 and further on dips. Short term: bearish. Medium term: bearish. Target 1.0200 levels again.
Gold: Gold is currently trading at $1874.59 levels. It seems some Investors booked some profits in yellow metal yesterday to cover losses in the Swiss franc after the SNB imposed a minimum of 1.20 Franc per Euro ceiling to the exchange rate and vowed to protect that ceiling with utmost determination. Gold is likely to rally further amid continuing global weakness. Support is seen at 1820.26 levels (21 days daily EMA) while resistance is seen at an all time high of 1920.84 levels. Outlook: Medium term Bullish. Target of 1900 levels achieved yesterday.
Oil: Oil is currently trading at 86.24 levels. Oil was positive yesterday amid expectation of shrinking crude stockpiles data from the US and on speculation a storm building in the Gulf of Mexico will disrupt supply in the US. Support is seen at around 83.74 levels while resistance is seen at 88.33 levels (200 days 4hrly EMA). Outlook: Short term bearish and medium term bearish. Target 82 levels.
Dollar Index: DI is currently trading at 75.90 levels. Dollar is positive on continuing strong risk aversions in the market amid global weakness as Investors are investing in safe havens like dollar. Support is seen at 74.91 levels (100 days daily EMA) and Resistance is seen at around 76.37 levels. Outlook remains Slight bullish for Short Term and Medium Term: Bullish Target 76 levels has been achieved.
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. --