Technical Outlook:

EUR/USD: EUR is currently trading at 1.3039 levels. Euro is trading slightly positive after recent sharp collapse on the back of better then expected US jobless claims and better than expected Spanish government bond auction (EUR6.0bn vs. 3.5bn targeted) helping sentiment to rebound slightly. Support is seen at around 1.2897 levels and resistance is seen at around 1.3197 levels (55 days 4 hourly EMA). EUR/INR is at 68.68 levels. EUR/INR is likely to trade in the range of 68.20 and 68.95 levels for today. Short Term: Bearish Medium Term Bearish Target 1.25. Exporters have already been asked to cover at 70 plus levels. Short Term: Bearish Medium Term Bearish Target 1.30 achieved next target 1.25

GBP/USD: GBP is currently trading at 1.5527 levels. Risk sentiment rebounded in the market and the cable is trading positive vs. the USD after better then expected Spain bond auction which eased concern about the Euro zone debt crisis. Support is seen at around 1.5427 levels and  resistance is seen at 1.5614 levels (21 days daily EMA). GBP/INR is at 81.54. GBP/INR is likely to trade in the range of 81.00 and 81.65 levels today. Maintain short term Bearish and Medium Term Bearish. Target 1.5500 achieved. Next target 1.50

USD/JPY:  Yen is currently trading at 77.87 levels. Support is seen at 77.57 levels (100 days daily EMA) while resistance is seen at around 78.56 levels (200 days daily EMA). Outlook: Short Term slight Bullish and Medium Term: Maintain bearish for the pair. Next target 80

AUD/USD:  The commodity currency is currently trading at 0.9978 levels. The commodity currency is trading positive on the back of risk sentiment today in the market, increasing demand for higher yielding assets like AUD. Support is seen at 0.9816 levels (100 days weekly EMA) and resistance is seen at 1.0149 levels (55 days daily EMA). Exporters have already been suggested to cover at 1.0300 levels and now importers can start covering below parity levels. Short Term: Bearish Medium Term: Bearish. Target: 0.9700

Oil:  Oil is currently trading at 94.14 levels. Oil collapsed drastically after weaker US Industrial Production m/m data yesterday  which increased speculation that crude demand will falter in the world's largest crude consuming nation. Support is seen at 92.93 levels (200 days daily EMA) while resistance is seen at 95.63 levels (55 days daily EMA). Outlook: Short term bearish and medium term bearish. Target 95 levels achieved. Next target : 90 levels. Look at shorts at stiff resistances for medium term.

Gold: Gold is currently trading at 1587 levels. Gold recovered slightly after weak US dollar today and after heavy selling was witnessed in recent days as Investors saw buying opportunity on dips. Support is seen at around 1500 levels and resistance is seen at 1646.36 levels (200 days daily EMA). As suggested earlier stay away from longs until we see significant corrections. Look at Initiating shorts at good resistances. Outlook stays bearish and target 1650 achieved. Next target 1500 levels. Look at shorts.

Dollar Index:  DI is currently trading at 80.24 levels. The Dollar Index corrected slightly today as risk sentiment was seen after better then expected Spain bond auction yesterday and better than expected US jobless claim yesterday. Support is seen at 79.31 levels (200 days weekly  EMA) and resistance is seen at around 81.00 levels. Short term and Medium Term: Bullish. Target 81 almost achieved. Next target 83 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.