Technical Outlook

EUR/USD: Euro is currently trading at 1.3576 levels. The Euro is slight positive amid better then expected GFK German Consumer Cli-
mate, M3 Money Supply y/y and Private Loans y/y data yesterday and amid expectations that Euro officials will do whatever it takes tacklethe Euro zone debt crisis. Yesterday the positive news that came out of Euro zone was of the successful Greek vote to implement a newproperty tax, which was very vital to insure the next tranche of funding to avoid default. Support is seen at around 1.3388 levels and resistance is seen at 1.3737 levels (21 days daily EMA). EUR/INR is at 66.66 levels. Exporters can cover short term exposure at current levels while Importers can cover exposure at 65.00 levels and below. EUR/INR is likely to trade in the range of 66.20 and 66.80 levels fortoday. Short Term: Bearish Medium Term Bearish. Target 1.3300 levels. EUR/INR should be in the range of 65-67 levels in the near term.

GBP/USD: GBP is currently trading at 1.5577 levels. GBP rallied amid risk sentiment in the market although as it seems BOE is willing toextend the QE program will put down side pressure on the cable and the bears will be looking to short the spikes. Support is seen ataround 1.5394 levels and resistance is seen at 1.5753 levels (21 days daily EMA). GBP/INR (76.84) Exporters can cover short term expo-sure at current levels and slightly higher while the short term importers can cover on dips towards 75 and below levels. GBP/INR is likelyto trade in the range of 76.30 and 76.90 levels today. Maintain short term Bearish and Medium Term Bearish. Target 1.53-1.54 levels.

USD/JPY: Yen is currently trading at 76.48 levels. Support is seen at around 76.17 levels while resistance is seen at 77.31 levels (55 daysdaily EMA). Yen exporters are suggested to book exposure partially at current levels and Importers can cover above 78.00 levels. Outlook:Short Term slight Bullish and Medium Term: Maintain bearish for the pair. USD/JPY pair should range in 76-78 levels. Bounce back till 80is possible.

AUD/USD: AUD is currently trading at 0.9874 levels. The commodity currency is slight positive too amid slight risk sentiment in the market, increasing demand for higher yielding assets. HIA New Home Sales m/m data came out better this morning. Support is seen ataround 0.9667 levels and resistance is seen at 1.0023 levels (55 days 4hrly EMA). Exporters have already been suggested to book exportexposure at 1.0400 levels while Importers can cover partially their near term exposure at current levels and further on dips. Short Term:Bearish Medium Term: Bearish. Next target 0.9600

Oil: Oil is currently trading at 83.07 levels. Oil was slight positive amid positive sentiment in the market that Euro zone debt crisis will be contained by the Euro zone officials. Support is seen at around 81.25 levels while resistance is seen at 84.91 levels (21 days daily EMA).Outlook Short term bearish and medium term bearish Target 80 again.

Gold: Gold is currently trading at 1637.33 levels. Gold along with other major commodities is slightly under selling pressure after recentmargin requirement hikes by CME Group although the Gold buying was seen recently. Support is seen at 1592.61 levels (200 days dailyEMA) and resistance is seen at 1688.72 levels (100 days daily EMA). As suggested at 1800 dollars gold is in consolidation phase. Stayaway from longs until we see significant corrections. Bearish in short term target 1500 dollars.

Dollar Index: DI is currently trading at 77.79 levels. Risk sentiment in the market has led to dollar trading slight weak today vs. the ma-jor currencies amid positive expectations that Euro zone officials will do what it takes to contain the Euro zone debt crisis. Looking aheadCore Durable Goods Orders m/m data and Durable Goods Orders m/m data is expected weak. Support is seen at around 77.49 levels andresistance is seen at around 78.69 levels. Outlook remains slight bullish for Short term and Medium Term: Bullish. Next target is 78-78.50 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.