The Dollar Index can move towards 101 in the near term. The Euro & EURINR can fall toward 1.140-1.135 & 101.50-101.00 respectively. EURJPY and USDJPY are rising as anticipated and can head towards 180 & 155 in the coming sessions. USDCNY continues to trade within 7.15-7.10 region. The Aussie has risen a bit within its 0.645-0.660 range. The Pound has a scope to test the upper resistance near 1.3250 while it holds above 1.3150. USDINR is trading within 88.50-88.85 range. While the resistance at 88.85 holds in USDINR, a pullback toward 88.50-88.25 can be seen.
Dollar Index (99.69) can rebound towards 101 as long as it remains above the support of 99.50.
EURUSD (1.1556) and EURINR (102.4641) tested 1.1582 & 102.72 initially before cooling down. While below 1.16 & 102.70, we retain our view of seeing a fall toward 1.140-1.135 & 101.50-101.00 respectively.
EURJPY (177.77) & Dollar-Yen (154.37) are gradually rising as anticipated and the targets of 180 & 155 can get tested soon in the near term. Thereafter, Whether the rise extends further or not remains uncertain at the moment.
USDCNY (7.1191) is trading lower within its 7.15-7.10 range which is likely to persist for some time before a breakout occurs.
Aussie (0.6530) has moved up further within its 0.645-0.660 range which is likely to persist for some time.
Pound (1.3162) tested 1.3190 before easing slightly. As long as it stays above 1.3150, it can test the resistance near 1.3250. Thereafter whether the resistance will hold & push the pair lower or extend the rise further will have to be seen.
USDINR (88.6520) remained stable within 88.50-88.85 region which is likely to hold for some time before targeting earlier mentioned lower levels of 88.50-88.25. Only a breach above 88.85 if seen can take the pair to test the upper resistance at 89.0-89.25 initially.
The US Treasury yields remain stable. The range is intact for now and can continue for some more time. Our bias is positive to see a bullish breakout of this range. Some positive trigger might be needed for this. The German Yields are coming close to their resistance. We expect the yields to reverse lower after testing the resistance. The 10Yr GoI has come down. It looks vulnerable to break the support and fall more. We will have to watch it closely today.
The US 10Yr (4.12%) and 30Yr (4.71%) Treasury yields remain stable. The 4.05%-4.15% (10Yr) and 4.6%-4.75% (30Yr) range is intact for now. We expect the yields to break the range on the upside and rise to 4.2% (10Yr) and 4.8% (30Yr).
The German 10Yr (2.67%) and 30Yr (3.26%) yields sustain higher and can test the resistance at 2.7% (10Yr) and 3.3% (30Yr). Thereafter they can fall back to 2.5% (10Yr) and 3.1% (30Yr).
The 10Yr GoI (6.4883%) has come down well below 6.5%. It looks vulnerable to break 6.48% and extend the fall to 6.45% and lower. But if it manages to sustain above 6.48% and bounces back then the rise to 6.55% will remain alive.
The Dow rose in hopes of the federal government shutdown to near an end. A rise to 48000 is on the cards. The Dax has moved up too but needs to rise past 24000 to rise further towards 25000. Nifty has risen but may face slight resistance near 25700-25800 region from where a near term dip looks possible. Nikkei continues to rally heading towards 52000-54000 while above 51000. Shanghai is headed towards resistance at 4050 which if holds can lead to a decent dip to 3950-3900.
The Dow (47368.63, +0.81%) has risen well from the support region of 46500-46000 as expected. It can now rise to 48000.
DAX (23959.99, +1.65%) has moved up. It needs to break past 24000 to head towards 24500-25000. Else it can fall back to 23500-23000 while below 24000.
Nifty (25574.35, +0.32%) may face slight resistance near 25700-25800 region which can lead to a dip back 25400-25300 before again attempting to bounce back towards 25800+. A straight rise past this hurdle can affirm a faster rise towards 26000-26200.
Nikkei (51253.92, +0.67%) is rising well today. While above 51000, the index is headed towards 52000-54000 soon.
Shanghai (4023.88, +0.13%) is rising towards immediate resistance near 4050 which if holds can produce a dip towards 3950-3900. The index will have to break above 4050 to continue rising towards 4100 or higher.
Crude prices stay weak below resistance and can fall towards $ 62 on Brent and $ 58 on WTI. Gold can extend its rise towards $ 4150-4200 and Silver can head up towards $ 51-52. Copper can push towards $ 5.10-5.20 within its broader $ 5.20-4.90 range. Natural gas still has room to climb towards $ 4.55-4.60 in the coming weeks.
Brent ($ 63.87) is holding below $ 66, and while it stays under this level, we expect a decline towards $ 62 in the near term.
WTI ($ 59.94) remains bearish towards $ 58 in the coming sessions while it trades below $ 62.
Gold ($ 4142.20) has bounced back in line with our expectation and can move further up towards $ 4150-4200 in the near term.
Silver ($ 50.54) has risen as expected and can head higher towards $ 51-52 in the near term.
Copper ($ 5.08) has risen as expected and can move towards $ 5.10-5.20 soon, while maintaining a broader $ 5.20-4.90 range for the coming weeks.
Natural Gas ($ 4.38) tested a high of $ 4.50 and pulled back to close at $ 4.33 yesterday, but a further rise towards $ 4.55-4.60 can still be seen in the coming weeks.
GMT 7:00 12:30 UK Unemp
4.8 …Expectation 4.9 …Previous 4.8
DATA YESTERDAY
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NO MAJOR DATA RELEASED YESTERDAY.