Kshitij Consultancy Services Team
Kshitij Consultancy Services
The Dollar Index, EURUSD, and EURJPY appear to range between 106.50-105.50, 1.06-1.07 and 162-165 respectively, while USDJPY could soon test our mentioned targets of 155-156. Aussie above 0.64 can rise further towards 0.65-0.655 and Pound needs to sustain above 1.23 to test 1.24/25 on the upside. USDCNY is slowly rising towards 7.25. EURINR may remain ranged within the 88.50-90 region. In USDINR, we need to be cautious around current levels as support can be spotted around 83.30 which if held, can take it higher towards 83.50.
The US Treasury and the German yields seem to be lacking strength to move up. They need a strong follow-through rise from here to move higher. Else, the Treasury yields can fall to test their support and the German yields can fall-back into their earlier range. We will have to wait and watch. The 10Yr and 5Yr GoI have come down. But supports are there to limit the downside and keep the overall uptrend intact.
Dow Jones has risen above the resistance at 38100 and can rise further if the break sustains. DAX looks range bound between 17600-18000 but outlook will remain bearish while below 18000. Nifty can rise too taking cues from Dow Jones. It has to rise above 22500 to become bullish towards 23000. Nikkei is trying to bounce but has to surpass the resistance overhead to become bullish, else it would remain vulnerable for the near term. Shanghai can remain ranged within 3100-3000 for a while.
Crude prices look mixed and might trade sideways for a while. Gold, Silver and Copper have fallen sharply and might dip towards their near term supports. Natural Gas to trade sideways within 1.50-2.00 for a while.
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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.
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