Vikram Murarka
Kshitij Consultancy Services
Good Morning!
Dollar Index may get some support from 102 while Euro can re-test 1.09-1.0930 before pausing. USDJPY and EURJPY trade higher and could move up towards 133/134 and 144/145 respectively. Aussie and Pound have also risen as expected and could head towards 1.24/25 and 0.6750 respectively. EURINR continues to trade higher and can head towards 90 while USDINR could attempt to rise within the 82.10-82.40/60 range. USDCNY is bearish below resistance near 6.90 while USDRUB could be ranged in the 76-78 region.
The US Treasury yields have moved further up. Resistances are ahead which if broken can take yields further up and turn the outlook bullish. Else the yields can fall back and remain in a sideways range. The German yields have risen further and have room to move up from here. The expected fall to test the supports is not happening. The 10Yr and 5Yr GoI are holding well above their supports. A rise above their immediate resistance can open the doors for more upside and will negate the danger of the deep fall that we have been expecting.
Dow and Nikkei lacks follow-through rise above the upper end of their sideways range. DAX has come off from its intra day high and needs to rise past 15300 to strengthen the momentum on the upside. Shanghai has declined towards the support at 3225. Nifty remains range bound.
Brent and WTI has risen well and are likely to test their immediate resistance at $80 and $75 respectively. Gold and Silver has scope to test their immediate resistance while above the support at 1945/1950 and 23.00 respectively. Copper is likely to remain range bound in the near term.
Visit KSHITIJ official site to download the full analysis
The above views are based on the latest available information. Though the information sources are believed to be reliable, the information is not guaranteed for accuracy. While the views are proffered with the best of intentions, neither the author, nor the firm are liable for any losses that may occur as a result of any action based on the above. 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.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.