The Dollar Index above 108-107.50, can rise towards 109.0-109.5 in the near term while Euro, EURINR, USDJPY and GBPUSD can trade sideways between 1.0450-1.0350/1.03, 89.5-88.5/88, 156-158 and 1.2600/1.2650-1.2500 respectively for the near term. EURJPY has risen a bit and while above 162, can target 164-165 in the coming sessions. Aussie has risen above 0.62 but immediate upside could be capped at 0.6250-0.6300. USDCNY continues to hover below 7.30 but as long as it holds above 7.28/25 the view remains biased for a rise towards 7.35. USDINR needs to decline from 85.70/75 to fall towards 85.60/50 else can extend further towards 85.90-86.00 in the coming weeks.

Dollar Index (108.406) can continue to incline towards 109-109.50 in the near term while above 108.00-107.50.

EURUSD (1.0364) is holding within the immediate range of 1.0450-1.0350. If the Dollar Index rises further, then Euro could break below 1.0350 and become vulnerable to test 1.03.

EURINR (88.7809) can trade within a narrow range of 89.50-88.50 and a broad range of 90-88 in the near term. A decisive break on either side of the range will be needed for further directional clarity.

Dollar-Yen (157.38) is trading higher within its narrow range of 156-158. A break past 158 can bring the target of 160 or even 162 back into the picture. Overall, downside is expected to be limited to 155-154. Watch price action closely around 158.

EURJPY (163.14) can rise towards 164-165 while above support at 162. Only, a sustained break below 162 if seen, can make the outlook bearish for a while.

USDCNY (7.2991) looks bullish towards 7.35 while above support around 7.28-7.29.

Aussie (0.6220) has risen past 0.62 again. The overall upside looks capped at 0.6250-0.6300. Any decisive break below 0.62 if seen can indicate medium-term bearishness for the pair with an initial target of 0.61-0.60. Only a sustained rise past 0.63 can negate the bearish view.

Pound (1.2511) has immediate support around 1.2500-1.2470 region, above which it can remain ranged within 1.2600/1.2650-1.2500 for some time. Only a strong break below 1.2450-1.2400 if seen can make the outlook bearish on the pair.

USDINR (85.6570) tested 85.71 in line with our bullish view. Need to see whether any selling pressure comes around 85.75 or not. Even if the dip happens, it can be limited to 85.60/50. At the same time, if the rise extends past 85.75, it can make it strongly bullish towards 85.90/86.00 soon.

The US Treasury and the German yields were closed yesterday on account of the New Year holiday. The Treasury yields remain bullish to see more rise. The German yields on the other hand have to breach their upcoming resistance to extend the rise and avoid falling back. The 10Yr GoI has risen back. But it has to break the immediate resistance to become bullish and negate our bearish view.

The US 10Yr (4.57%) and 30Yr (4.78%) were closed yesterday. View is bullish to see 4.8% (10Yr) and 5% (30Yr) while above the 4.5%-4.45% (10Yr) and 4.7%-4.65% (30Yr) support.

The German 10Yr (2.36%) and the 30Yr (2.59%) yields were closed yesterday on account of the New Year. The yields have to breach the 2.4%-2.45% (10Yr) and 2.6% (30Yr) resistance to go up to 2.6% (10Yr) and 2.8% (30Yr). Else they can fall back to 2.2% (10Yr) and 2.4% (30Yr). Wait and watch.

The 10Yr GoI (6.8102%) has risen back above 6.8% again. But a strong rise above 6.84% is needed to become bullish for a rise to 6.9% and higher. Only then our bearish view of seeing a fall to 6.7%-6.65% will get negated.

The Dow Jones and DAX can witness a fall towards 42000 and 19500. Nifty has risen a bit but lacks immediate directional clarity. A range of 23900-23450 looks possible just now. Below 23900, there could still be some chances of a fall to 23500-23000. Nikkei is closed till 03-Jan-25. Shanghai has extended the fall beyond 3350 and could test the support of 3300.

The Dow (42544.22) and DAX (19909.14) were closed yesterday for the New Year.

Nifty (23742.90, 0.41%) is attempting to rise. But a break above 23900 is needed to go up to 24000 and ease the downside pressure. While below 23900-24000, the danger of a fall to 23200-23000 will remain alive. For now, the market is still range-bound. 23450-23900 is the trading range.

Nikkei (39894.32, -0.96%) is closed till 03-Jan-25. While below 40000, the index is expected to remain range-bound between 38,000 and 40,000 in the early next week. A decisive break above 40000 is necessary to invalidate this view and open the door for a potential rise toward 41000.

Shanghai (3320.6280, -0.92%) is heading towards the support of 3300. Thereafter, if the support holds, it could rise towards 3350-3400. Failure to sustain above 3300 would lead to a fall to 3250-3200.

Brent and WTI can range between 75.20-73.00 and 72.20-69 respectively for the near term. Gold needs a sustained break above 2650 to confirm further bullishness towards 2700-2750 while, Silver and Copper can rise towards 30.0-30.5 and 4.08-4.10-4.15. Natural Gas can bounce back towards 3.8-4.0 while above 3.5/3.4.

Brent ($ 75.13) is holding below its immediate resistance and while below this it can fall to 74-73 in the near term. A narrow range of 75.20-73 can hold for the upcoming sessions.

WTI ($ 72.19) can see a fall to 70-69 in the near term. A range of 72.20-69 is expected to hold for some time.

Gold ($ 2647.10) has risen as expected but needs to break above 2650 to confirm further bullishness towards 2700-2750.

Silver (29.67) has risen as expected. While the immediate support at 29 holds, it can rise further towards 30.0-30.5 in the upcoming weeks.

Copper (4.0455) has held above 4 for now. While above this level it can bounce back towards 4.08-4.10-4.15 in the near term.

Natural Gas (3.5970) has dipped slightly. The immediate support near 3.5-3.4 is expected to hold and push the price up towards 3.8-4.0. Thereafter it can break above 4.0 to be bullish towards 4.4-4.8.

1:45 07:15 CN PMI
… Exp – … Expected 51.6 … Previous 51.5

5:00 10:30 IN Manufacturing PMI
… Exp 55.5 … Expected 57.4 … Previous 56.5

9:00 14:30 EU PMI
… Exp 2.3 … Expected 45.2 … Previous 45.2

9:30 15:00 UK PMI
… Exp 48.6 … Expected 47.3 … Previous 48.0

14:30 20:00 CA PMI
… Exp – … Expected 51.9 … Previous 52.0

DATA YESTERDAY:
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No major data released Yesterday.