Dollar Index trades above 103 while Euro has scope to test 1.08 while below 1.0930/50. Pound remains ranged within 1.26-1.28 while Aussie can slowly move up towards 0.65-0.66. USDJPY and EURJPY have scope to rise while above 145 and 158; else a break below the mentioned levels can be vulnerable to a sharp fall in the near term. USDCNY is ranged within 7.26-7.32 but has scope to rise towards 7.35/40 eventually. USDRUB can target 95-96 while above 91.60. EURINR is bullish above 90 but a break on the downside if seen can extend to 89.50 before the expected rise can be seen. USDINR needs to break below 82.90 to move lower to 82.70/60 else can rise back to 83.10/30 if it bounces back from 82.90 which is a very near term support.

Dollar Index (103.514) trades above 103 and while above 102.90-103, the index can trade within 102.90-104 region. Further bullish hopes are limited while below 104. Bias is to see an eventual fall soon.

EURUSD (1.0854) tested 1.09305 as expected and has come off sharply from there. While below immediate resistance near 1.0930-1.0950, view is bearish towards support at 1.08.

EURJPY (158.11) rose to test 159.48 yesterday but failed to break above 159.50 hence the target of 160-161 could be delayed by a few sessions unless a sustained break above 159.50 is seen. The immediate range of 158-159.50 may hold. A break below 158, if seen will be bearish towards 156. We may wait and watch for the next few sessions to get more clarity.

Dollar-Yen (145.68) has dipped below 146 and if the fall continues, it can test 145 before again bouncing back to 146. However, our mentioned targets of 147.50-148.50 would come into picture only if the pair sustains above 146 which looks less likely for the next couple of sessions at least.

USDCNY (7.2886) has been ranged within 7.26-7.32 region and needs to gather more strength to move up further towards 7.35/40, the medium term expected targets.

Pound (1.2739) continues to trade within 1.26-1.28 and unless a break on either side is seen, it is difficult to project further movement from here.

Aussie (0.6444) has been rising from 0.6365 over the last 4-5 sessions. The bounce needs to sustain for Aussie to slowly move up towards 0.65-0.66 soon. Crucial long term support is seen at 0.64 and lower at 0.63 which are likely to hold.

USDRUB (93.23) is rising from 91.60 and needs to continue the upmove to slowly head towards 96+ levels. Else a range of 91.60-95 can hold for now.

USDINR (82.94) made an intra-day high of 83.09 yesterday and fell back sharply to close at 82.94. Note that 82.90 is an immediate support which needs to break on the downside for the pair to fall towards 82.70/60. Else, a bounce from 82.90, if seen can take the pair back towards 83.10/30.

EURINR (90.1365) needs to hold above 90 to move higher else can have scope to test 89.50 before reversing from there.

The US Treasury and the German yields have come down. But supports are there to limit the downside and keep the broader uptrend. Both the yields remain bullish and can rise more in the coming days. The 10Yr and 5Yr GoI remain stable above their supports. While the supports hold, the outlook remains bullish for the yields to see a fresh rise.

The US 10Yr (4.31%) and the 30Yr (4.38%) yields have dipped slightly. But the view remains bullish for the yields to see 4.5%-4.6% (10Yr) and 4.6%-4.7% (30Yr) on the upside.

The German 10Yr (2.64%) and the 30Yr (2.71%) yields have come down but are unlikely to sustain lower. View remains bullish to see 3%-3.1% on both the 10Yr and 30Yr.

The 10Yr GoI (7.2203%) and 5Yr GOI (7.2039%) are stable above their supports at 7.2% and 7.2%-7.18% respectively. While above these supports the outlook is bullish to see 7.35% (10Yr) and 7.45% (5Yr).

Dow Jones and Shanghai remains bearish for a test of 34100-34000 and 3050-3000 respectively. Nifty is vulnerable to a fall while it remains below 19500. DAX is moving up but has to break above 15950-16000 resistance zone to avoid coming down again. Nikkei has entered into the immediate resistance zone of 32000.

Dow (34288.83, -0.51%) continues to move down. 34100-34000 can be tested and then a fresh leg of upmove can begin.

DAX (15705.62, +0.66%) is moving up. But the 15950-16000 resistance zone has to be breached to become bullish and avoid the fall to 15200.

Nifty (19396.45, +0.01%) is struggling to breach 19500. 19250-19500 is the range for now. The chances of a fall to 19200-19000 is still there while the Nifty remains below 19500.

Nikkei (31919.91, +0.20%) has entered into the resistance zone of 32000. If 32000 holds, a fall towards 30500 might be seen in the coming sessions. Else it can rise further towards 32500.

Shanghai (3097.80, -0.72%) remains subdued. View is bearish for a fall to 3050-3000 before a reversal can be seen.

Brent and WTI continues to dip and look bearish for the near term. Gold and Silver have scope to rise towards their immediate resistance. Copper has broken above the resistance at 3.75 and can now move up further from here. Natural gas remains range bound above 2.5.

Brent ($ 84.09) is gradually coming down. View is bearish for a fall towards $ 82-$ 80 while it remains below $ 86.

WTI ($ 79.78) is heading down towards $ 79. A fall towards $ 78-77-76 looks possible in the near term.

Gold (1930) continues to inch up. A rise towards 1940-1950 is possible while it remains above the support at 1900. Thereafter we need to see if it breaks above 1950 or falls back from there.

Silver (23.56) has risen further above 23.50. View is bullish for a test of 24. A break above 24 is needed to strengthen the momentum towards 25. Support is at 23-22.50

Copper (3.7750) has broken above the resistance at 3.75. While above 3.75, view is bullish for a rise towards 3.80-3.90 in the near term.

Natural Gas (2.5610) remains range bound above 2.5. It has to hold above 2.5 to negate a fall to 2.4 and to rise towards 2.8-3.0.

14:00 19:30 US New Home Sales
Expn 675K …Expected 708K … Previous 697K

DATA YESTERDAY:
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14:00 19:30 US Existing Home Sales
Expn 4016K …Expected 4150K … Previous 4160K …Actual 4070K