Morning Briefing: The Dollar Index and the Euro are likely to remain ranged within 105.50-107.50
|Dollar Index and Euro are likely to remain ranged within 105.50-107.50 and 1.02-1.05 region respectively while EURJPY can test 146 before a rejection is seen. Pound can fall to 1.18/16 while below 1.20 while Aussie has scope to re-test 0.68 within the 0.68-0.66 range. USDJPY is likely to be ranged within 137-142 while USDCNY is headed towards 7.15/20 before a fall to 7.10/05 is seen again in the medium term. USDRUB is stuck within 59-62 while USDINR may face rejection from either 81.75 or higher at 82. EURINR can limit its rise to 85 and see a corrective dip in the next 2-3 sessions.
The US Treasury yields have risen back across tenors but are likely to be short-lived. We expect the yields to extend the fall in the coming days. The German yields remain lower and stable. The view is bearish for the yields to fall more from here. The 10Yr and 5Yr GoI are managing to hold above their support. But they have to rise past their immediate resistance to turn bullish and avoid a deeper fall from here.
Dow has risen back from a low of 33239.75 keeping the bullish view intact of seeing a topside breakout above 34000 in the coming sessions. DAX has bounced back and has scope to break above the intermediate resistance at 14450 and rise further on the upside. Nikkei continues to be ranged. Shanghai has rebounded but may remain bearish for a fall on the downside while below the resistance at 3150. Nifty has scope to rise past 18400 and move up further while above the support at 18200-18100.
Brent and WTI are coming down to test their key supports, which if holds, can produce a bounce back from there. Gold, Silver and Copper have declined sharply and have room to come down further from the current levels.
Visit KSHITIJ official site to download the full analysis
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.