The Dollar Index has recovered well from the support around 100.50. Watch US GDP data release scheduled today. Euro is declining as expected and can soon test 1.11. USDJPY can fall back towards 142-140 in the near term below 145, while EURJPY can remain ranged within 160-164 for a while. The pound is holding well below our mentioned resistance of 1.3250 for now and is likely to fall towards 1.31 or lower. Aussie failed to sustain its rise past 0.68 and is currently moving within a narrow range of 0.6850-0.6750. USDCNY can remain ranged within 7.12-7.18 region above 7.12. EURINR can fall back towards 93 in the coming sessions before attempting to rise back. USDINR may continue to trade within 83.75 -84.00 region for the near term.

The Dollar Index (100.968) has bounced well from the mentioned support around 100.5. Possible month-end buying and the support from the technical factors pushed the Index to a high of 101.177 before coming down. UG GDP data release is scheduled today. We need to wait and watch if the rise extends further to 101.50-102 or falls back to 100.5 or lower in the coming sessions.

EURUSD (1.1131) has been coming off in line with our bearish view and can soon test 1.11 on the downside. Thereafter, it must be seen whether the fall extends further to 1.10 or halts at 1.11 itself. Watch price action closely around 1.11.

Dollar-Yen (144.46) needs to see a strong rise past 145-146 to head towards 148/150, else it is likely to fall back to 142/140 again.

EURJPY (160.80) is trading near the lower end of its 160-164 range. Bearishness will again come into the picture only on a break below 160. Until then the range can persist.

The USDCNY (7.1252) can trade within a range of 7.12-7.16-7.18 region for a while. Only a strong break below 7.12 if seen, can drag the pair lower to 7.10-7.08.

Aussie (0.6792) failed to sustain its rise past 0.68 and started coming off. A narrow range of 0.6850-0.6750 can hold for some time. Note, a confirmed break below 0.6750 can drag it further to 0.67-0.6650 in the near term.

Pound (1.3202) is currently holding well below the mentioned resistance around 1.3250. While it holds, the pair is likely to fall towards 1.31 or even lower in the coming sessions.

USDINR (83.9575) continues to trade higher within a broad range of 83.75-84.00. For now, we expect the upside to be capped at 84 and the range to persist for a while.

EURINR (93.4167) declined sharply yesterday. An immediate support can be seen around 93, which can be tested before attempting to rise back.

The US Treasury yields remain stable. The broader view is bearish and there is room to fall more from here. Any rise will be capped and short-lived. The German yields have turned down and resumed their downtrend. The bearish view remains intact. The 10Yr GoI is higher but stable. Resistances ahead can cap the upside and drag the yield lower again. The broader view remains bearish.

The US 10Yr (3.83%) and the 30Yr (4.12%) yields remain stable. View remains bearish for a fall to 3.5% (10Yr) and 3.8% (30Yr). Resistances at 4% (10Yr) and 4.3% (30Yr) can cap the upside if there is a rise.

The German 10Yr (2.26%) and the 30Yr (2.50%) yields have reversed lower as expected indicating the resumption of the downtrend. That keeps intact our bearish view of seeing 2% (10Yr) and 2.2% (30Yr) on the downside. Resistances are at 2.4% (10Yr) and 2.6% (30Yr).

The 10Yr GoI (6.8605%) sustains higher but stable. Resistance in the 6.88%-6.9% region can cap the upside if there is a rise from here. While below 6.9%, the broader view is bearish to break 6.84% and fall to 6.8%-6.75%.

Dow Jones has fallen a bit but while above the support at 40800, view remains intact to see a rise towards 41800-42000. DAX has broken above its the resistance and while this break sustains, a further rise could be seen in the coming sessions. Nifty remains positive to target 25500 in the near term. Nikkei remains stuck in a narrow range but broader view is bullish to see a break on the upper end of the range. Shanghai has fallen below 2840 and can now fall towards 2800-2775.

Dow (41091.42, -0.39%) has come down but the support at 40800 is holding well. A fall below 40800 is needed for a fall to 40500-40400 and delay the rise to 41800-42000.

DAX (18782.29, +0.54%) has risen well above 18700. While this sustains, a rise to 19000 and even 19500 is possible over the medium term.

Nifty (25052.35, +0.14%) continues to oscillate around 25000. Bias remains positive to get a sustained break above 25100 and a rise to 25500. Immediate support is at 24900. Below that 24750 and 24500 are important supports.

Nikkei (38,215.50, -0.42%) is stuck between 37500-38500. Chances of seeing a break on the upside and rise towards 39000-39500 remains intact as long as it holds above 37500.

Shanghai (2823.54, -0.49%) has fallen below 2840 as expected. A fall towards 2800 or even 2775 looks likely from here.

Crude prices and Natural Gas are likely to trade sideways for a while. Gold, Silver and Copper fell sharply yesterday but have their immediate support levels, while above which, they can potentially rise towards 2600, 31.5 and 4.4 respectively.

Brent ($ 77.74) tested $ 77.14 yesterday and has bounced slightly from there. It may remain ranged between $ 75-80 for a while. However, a rise towards $ 82-85 cannot be ruled out in the medium term.

WTI ($ 74.78) tested a low of $ 73.85 yesterday before bouncing back above $ 74. It may trade sideways between $ 71-78 for a while. However, chances of seeing a rise towards $ 80-81 will remains intact in the medium term.

Gold (2547) fell to a low of 2527.80 yesterday and has bounced back a bit from there. It can potentially rise towards 2600 while it sustains above 2500.

Silver (29.78) fell sharply to its immediate support at 29.08 yesterday but has opened with a gap at 29.5 today. While it trades above 29, our outlook remains intact to see a rise towards 31.0-31.5 in the near term.

Copper (4.2030) saw a low of 4.1350 yesterday and has bounced a bit from there. Support is now at 4.1. While it holds above 4.10, chances of seeing a rise towards 4.4 remains intact.

Natural Gas (2.1140) bounced back above 2.10 after testing the support at 2.0. While above 2.0/1.9, it is likely to trade sideways between 1.9/2.0-2.3 for a while.

9:00 14:30 EU Biz Climate
Expn 95.3 … Expected 95.9 … Previous 95.9

12:30 18:00 US GDP
Expn – … Expected 2.8% … Previous 2.8%

Data on Yesterday
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No major data released yesterday.