Morning briefing: Euro could fall to 1.0900-1.0870 again in the near term
|Good Morning!
Dollar Index continues to trade within 102-103 while the Euro has fallen from 1.10 and could fall to 1.09-1.0870 again in the near term. EURJPY and USDJPY have declined and look bearish for the near term. USDCNY has slipped and could now be headed towards 7.12 while below 7.18. Aussie may trade within 0.6735-0.6650 while Pound has fallen within 1.28-1.27. USDRUB could test 86-85 before moving up again. EURINR could fall towards 90.50. USDINR can fall to 82.75/65 if it breaks below 82.80.
The US Treasury yields have come down further. Failure to rise from here will negate our view of seeing a rise and in turn will see the broader downtrend resuming from here itself. The German yields have dipped slightly but are likely to reverse higher again and keep intact our bullish view. The 10Yr and 5Yr GoI have bounced on Friday. Though a further rise from here cannot be ruled out, resistances can cap the upside and keep the broader bearish bias intact.
Dow Jones has come down, failing to break above the upper end of its sideways range. DAX looks mixed and range-bound between 16500 and 17000. Nifty can rise towards its key immediate resistance before a corrective fall can be seen. Nikkei can face rejections from 36000. Shanghai appears range bound within 2865-2905.
Crude prices could remain range bound for some more time. Gold and Silver rose sharply to test their resistance last Friday and have dipped. Outlook is bearish for both the precious metals while below 2060 and 23.80 respectively. Copper is attempting to break below its 3.75 support and looks bearish to fall further in the near term. Natural Gas looks mixed and range bound within 3.40-2.90.
Visit KSHITIJ official site to download the full analysis
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.