The USD Dollar has lost its ground against most of the major pairs especially against the Common Currency and the Cable, whereas closed flat by the end of New York trade against the Aussie Dollar and the Swiss Franc on the event of the key equity index of the Dow Jones Industrials (DJIA) finding stability at 18860 ranges.
The US Dollar Index (DXU11) is expected to find support at 75.00 ranges, weekly close below 74.70 ranges would reinitiate long-term weakness in USD else DXU11 is expected to test 77.00. Only multiple closes above 77.20 would post short-term bottom in the US Dollar.
Key equity index, Dow Jones Industrials (DJIA) has broken important trend line support at 12200 ranges on Friday, June 03,2011 to currently trade above 12000 ranges; 11740-11800 ranges is expected to act as final support for DJIA. Historic correlation between DJIA Vs DX suggests sideways stronger USD for few trading session till the Dow takes support at 11700-11800 ranges.
NYMEX July Crude also recovered from important support of $91.20 ranges, daily close above $94.60 would post short-term bottom in NYMEX July Crude.
FX Pair Support 2 Support 1 Resistance 1 Resistance 2
EURUSD 1.4260 1.4290 1.4370 1.4400
USDJPY 79.45 79.80 80.50 81.30
GBPUSD 1.6020 1.6200 1.6280 1.6320
USDCHF 0.8300 0.8350 0.8470 0.8555
EURJPY 113.40 114.65 115.90 117.45
AUDUSD 1.0430 1.0490 1.0600 1.0640
For trading calls, contact us at
+91-40-40268383
support@gfmresearch.com
www.gfmresearch.com
Disclaimer: This report contains the views of GFM Research Private Limited. This report should not be construed as investment/trading advice. Due care is taken when gathering the data/information and the data sources are believed to be reliable, though GFM Research Private Limited nor its Group Companies guarantee for the same. Trading/investing in financial markets may result in financial and/or emotional stress, a trader/investor is advised to weigh pros and cons of trading/investing. Further disclaimer will be produced on request.