The Dollar Index has limited upside to 101. Either from current levels or upon testing 101, it can resume its fall to 98-96. The Euro and EURINR have supports coming at 1.13-1.12 and 96-95.5 region, above which the targets of 1.16-1.18 and 99 are kept open respectively. EURJPY and USDJPY are holding the ranges of 160-164 and 140-144 respectively. AUDUSD is again attempting to rise past 0.64. Watch price action closely to see whether it breaks past it or continues to trade within 0.64-0.62 region. The USDCNY above 7.29/28 can target 7.32-7.35 in the coming sessions. Pound is stuck within 1.32-1.34 region. USDINR has turned lower from 85.6675 itself and now can extend the fall to 85 as well.

Dollar Index (99.57) is unable to rise past 100. The overall upside looks capped at 101 max. Either from current levels or upon testing 101, it can resume its fall to 98-96.

EURUSD (1.1350) and EURINR (96.7808) needs to see a sustained rise past 1.14 & 97.50 to test 1.16-1.18 & 99 respectively in the coming weeks. Else, the pairs can initially fall back towards 1.13-1.12 and 96.0-95.5 respectively before eventually ascending higher.

EURJPY (162.24) and Dollar-Yen (142.96) continues to trade within its respective ranges of 160-164 and 140-144. A decisive break on the either side will be needed for further clarity.

USDCNY (7.2965) while above 7.29/28, can attempt to rise back towards 7.32-7.35. Only if a break below 7.28 is seen can drag it further to 7.25, thereby delaying the rise.

Aussie (0.6359) has been trading within a narrow range of 0.635-0.645 since the last few sessions. While below 0.64, pair can be vulnerable to fall back towards 0.63-0.62 and thereby a broad range of 0.64-0.62 can hold for a while. Only a sustained rise past 0.645 can make it bullish further.

Pound (1.3305) is stuck within 1.32-1.34 region for a while. The immediate upside can be limited to 1.35 region. We will have to wait and see whether it breaks below 1.32 or rises past 1.34/35 for further directional clarity.

USDINR (85.2320) as anticipated to rise to 85.75/80 or 86 max but it started coming off from 85.6675 itself. Now, the fall can get extended to 85. Thereafter, whether it gets extended to 84.50 or trades within the broad range of 85.75-85.00 will have to be seen.

The US Treasury yields are coming down as expected. The yields have room to fall more. The German yields have fallen back again as expected. Bearish view is intact. The yields can fall further. The 10Yr GoI seems to lack a strong follow through rise although it sustains above the crucial support zone. Need to watch it cautiously as a break below the immediate support can trigger a deeper fall.

The US 10Yr (4.31%) and 30Yr (4.77%) Treasury yields are coming down as expected. They can test 4.2%-4.1% (10Yr) and 4.7%-4.65% (30Yr) on the downside.

The German 10Yr (2.44%) and 30Yr (2.87%) yields have come down again failing to sustain the bounce as expected. The bearish view is intact to see a fall to 2.4%-2.3% (10Yr) and 2.8%-2.7% (30Yr). Resistances are at 2.6% (10Yr) and 3% (30Yr).

The 10Yr GoI (6.3216%) has come off from the high of 6.3586%. It has to sustain above the 6.30%-6.28% support zone to avoid a deeper fall to 6.15%. Wait and watch cautiously.

Dow Jones needs a break above 40200 to rise towards 40700-41000. Immediate outlook looks mixed just now. We may expect the 37800-40800 range to hold for the near term. Dax is bullish for a rise to 22300-22600. Nifty dipped yesterday but we keep our bullish outlook intact for a rise to 24500-25000 while above 24000-23850 support zone. Nikkei continues to rise and could target 36000-36500 in the coming weeks while the rise in Shanghai looks a bit slow but could be eventually bullish towards 3350-3400 from where some correction can be expected.

The Dow (40093.40, +1.23%) is hovering around 40000. A break above 40200 can take it up to 40700-41000. For now the mixed outlook is intact. The 37800-40800 range is intact.

DAX (22064.51, +0.47%) sustains higher and can rise 22300-22600. The price action thereafter will need a close watch to see if a reversal is happening or not.

Nifty (24246.70, -0.34%) has dipped yesterday. But fresh buying can limit the downside. So, while above the 24000-23850 support zone, bullish outlook will remain intact to see 24500-25000 on the upside.

Nikkei (35492.11, +1.29%) continues to rise as expected and could be headed towards our target of 36000-36500 soon, from where a correction can be possible in the medium term.

Shanghai (3297.67, +0.012%) looks a bit subdued today and could trade in a sideways manner before picking up momentum to rise towards 3350-3400 soon in the coming sessions. Immediate view is bullish while above 3250.

Crude prices are expected to trade within their respective ranges until a breakout occurs. Gold remains bullish above $ 3,300 with potential to test $ 3,400–$ 3,500, while Silver could rise towards $ 34.50–$ 35.50. Copper stays bearish below $ 4.95–$ 5.00, targeting $ 4.80–$ 4.60. Natural gas holds above support, with chances of moving up to $ 3.20–$ 3.40.

Brent ($ 66.67) and WTI ($ 62.90) can stay in the range of $ 68-62 and $ 66–$ 60 respectively, until a breakout on either side takes place.

Gold ($ 3,363.50) is holding above $ 3,300 and could potentially rise towards $ 3,400–$ 3,500 in the near term while it remains above this level. A sustained break below $ 3,300 would open the doors for a decline towards $ 3,200–$ 3,100, though this appears less likely for now.

Silver ($ 33.55) is trading above $ 33.50 and could rise further towards $ 34.50–$ 35.50 in the coming weeks.

Copper ($ 4.8620) has seen a slight rise yesterday, but as long as it remains below $ 4.95–$ 5.00, we maintain our earlier bearish view of a decline towards $ 4.80–$ 4.60 in the coming weeks.

Natural Gas ($ 3.1190) is holding above its immediate support, and while it stays above this level, we maintain our view of a rise towards $ 3.20–$ 3.40 in the near term.

23:05 04:35 UK Cons Conf
Exp -19 …Expected -21 …Previous -19

DATA YESTERDAY
………….
9:00 14:30 GER IFO Business Climate
Exp 86.5 …Expected 85.1 …Previous 86.7 … Actual 86.9

9:00 14:30 GER IFO Business Situations
Exp 84.5 …Expected 85.5 …Previous 85.7 …Actual 86.4

9:00 14:30 GER IFO Business Expectations
Exp 88.2 …Expected 85.0 …Previous 87.7 … Actual 87.4

12:30 18:00 US Durable Goods Orders
Exp 0.2% …Expected 1.5% …Previous 0.9% … Actual 9.2%

14:00 19:30 US Existing Home Sales
Exp 4248K …Expected 4140K …Previous 4260K … Actual 4020K