Morning briefing: EUR/USD can extend the fall towards 1.1900-1.1800

The FED kept the interest rates unchanged at 3.75%. DXY need to hold above 96 to rebound towards 98, else risks slipping to 94. EURUSD can extend the fall towards 1.19/18 while it trades below 1.21. EURINR has resistance at 111 which could limit upside and aid the pair to decline in the near term. EURJPY can hold the 182-186 range for now. USDJPY can target 156 in the near term while it remains above 152. USDCNY may ease towards 6.90. Aussie has moved above 0.70 and can head towards 0.71/72 in the coming sessions. Similarly, Pound can also rise towards 1.40/4050 before halting. USDINR can continue trade within 91.50-92.00 for the near term. Only a break past 92 if seen can take it towrads 92.25 initially. US Housing starts & US Trade balance data releases are scheduled to release today.

The US Treasury yields have inched up. For now, the yields are stuck inside a narrow range. The bias is positive to see a bullish breakout eventually. The US Fed kept the rates unchanged at 3.5%-3.75% in its meeting yesterday. This event did not have a major impact on the yields. The German yields continue to remain stable. Failure to get a strong rise from here will continue to keep it vulnerable for a fall. The 10Yr GoI has risen sharply. It can rise further to test its resistance and then come down thereafter.

The Dow is holding steady and could target 49500-50000 in the near term. The FED kept key rates unchanged. The Dax can trade within 24500-25000 for a few sessions while Nifty has shown some signs of a rise but needs to break past 25600 to continue rise towards 26000 and higher. Nikkei could rise towards 54000/55000 while above support near 52000/53000. Shanghai can continue trade within 4200-4100.

Brent and WTI are rising as expected on geopolitical tensions, with upside seen towards $70–$71 and $65–$66 respectively. Gold remains strongly bullish after hitting fresh all-time highs and can extend gains towards $5800–$6000. Silver is likely to move up towards $120–$125. Copper needs a sustained break above $6.10 to rise further, else it may slip towards $5.70. Natural gas remains weak with downside seen towards $3.60–$3.40.