Forex Technical Update

EUR/USD: Euro is currently trading at 1.3114 levels. Euro erased most of its yesterday’s gain after concern Greece is strug-gling to reach agreement with its creditors on a debt-swap arrangement. Looking ahead M3 Money Supply y/y data is ex-pected better. Support is seen at 1.2930 levels (21 days daily EMA) and resistance is seen at 1.3281 levels (100 days daily EMA).

EUR/INR is at 65.09 levels. EUR/INR is likely to trade in the range of 64.80 and 65.40 levels for the week. Short Term: Bullish till 1.3250 , Bearish Medium Term Bearish Heading towards our Target 1.26-1.28 levels.

GBP/USD: GBP is currently trading at 1.5677 levels. The cable also erased most of its yesterday’s gains tracking weaker Euro and on concern that weak UK economy is likely to persuade BOE for further monetary stimulus. Support is seen at 1.5610 levels (55 days daily EMA) while resistance is seen at 1.5814 levels (200 days daily EMA).

GBP/INR is at 77.97 levels. GBP/INR is likely to trade in the range of 77.50 and 78.20 levels today. Maintain short term Bearish and Medium Term Bear-ish. Next target: 1.53-1.54 levels.

USD/JPY: Yen is currently trading at 77.14 levels. Yen is again strong as demand for alternate safe haven overpowered recent weak data which showed the Japanese economy has entered from Trade Surplus to Trade deficit zone. Tokyo Core CPI y/y data came out weak while Retail Sales y/y data came out better this morning. Support is seen at 77.03 levels (21 days daily EMA) while resistance is seen at around 78.00 levels. Outlook: Short Term slight Bullish towards 78-79 and Me-dium Term: Maintain bearish for the pair.

AUD/USD: The Aussie is trading at 1.0620 levels. The commodity currency is showing slight weakness after strong rallies recently as market turn slight risk averse today. Support is seen at around 1.0534 levels and resistance is seen at around 1.0684 levels. Exporters can cover at current levels and importers can cover near the parity levels. Short Term: Bearish Me-dium Term: Bearish. Target: 1.02 levels. Exporters cover at every move.

Gold: Gold is trading at 1720 levels. Gold rallied strongly as Fed said that they doubt recent better data is actual reflection of US recovery and it is suspecting more weakness ahead in the economy. Fed has also kept the door open for further stimulus if required and pledge to keep interest rates low until late 2014. As suggested earlier stay away from longs until we see significant corrections. Look at Initiating shorts at good resistances. Outlook stays bearish: Look at shorts. Target 1600 again.

Oil: Oil is currently trading at 99.90 levels. Support is seen at 98.60 levels and resistance is seen at around 101.40 levels. Outlook: Short term bearish and medium term bearish. Next target: 95 levels again. Look at shorts at stiff resistances for medium term.

Dollar Index: DI is currently trading at 79.39 levels. Dollar depreciated yesterday as the Fed pledged to keep the Interest Rates low till late 2014 and said they are open to more monetary stimulus if required. Support is seen at 78.70 levels (100 days daily EMA) levels and resistance is seen at 80.20 levels (21 days daily EMA). Short term and Medium Term: Bullish. Next target 81 levels.