The US Dollar Index has hit the short-term resistance of 79.80 ranges during yesterday’s New York trading session and has started weakening since today’s Asian trade; daily close below 79.10 would drag DXH2 towards the short-term support of 78.20 ranges.
Dow Jones Industrials is trading is trading firm near to last year highs of 12900 ranges ; DJIA Vs DX correlation suggests a word of caution though the major trend of the Greenback is bearish and the major trend of the Dow is bullish, both may trade sideways before resuming respective trends. Consistent daily close above 13000 would reinitiate major rally in the Dow Industrials.
The long-term trend is still bearish till the Dollar Index does not close above 83.50 on monthly basis. Historic congestion is seen in the ranges of 81.40-83.50. Historic correlation between DX Vs DJIA is signifying USD bearishness in long-term, only if 83.50 is given away on monthly closing basis; long-term bottom would be posted in the USD.
NYMEX Feb Crude after finding support at $96.00 ranges is currently trading at $101.65. Correlation between CLH2 and DJIA has again turned positive again with both DJIA and CLF2 trading firm. The major trend is intact till it manages to close consistently above $89.00 ranges on weekly basis; the short term target of 101.50 has been hit, daily close above $102.00 would result in further rally to $105.60 ranges.
FX Pair Trend Support 2 Support 1 Resistance 1 Resistance 2
EURUSD Sideways 1.3020 1.3100 1.3205 1.3310
USDJPY Sideways-Up 77.60 78.00 79.50 80.10
GBPUSD Sideways 1.5600 1.5660 1.5760 1.5880
USDCHF Sideways-Down 0.9070 0.9130 0.9210 0.9340
EURJPY Sideways-Up 102.00 102.60 103.80 104.70
AUDUSD Sideways-Up 1.0660 1.0720 1.0860 1.0970
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.