Daily FX Perspective December 05, 2012 – GFM Research

Market Commentary
The US Dollar depreciated across the board; the Common currency, the Cable continued to appreciated against the USD; the Aussie depreciated but the short term range bound trend remained intact with 1.0480 ranges still acting as major barrier; the Swiss Franc showed resilience despite the Euro appreciating.
The benchmark equity index (.DJIA) is currently trading at 12990 with 13080 acting as intermediate resistance. Only daily close below 12400 would put major trend in jeopardy else as the index consistently trades beyond 13300, major rally reinitiates.
Historic correlation between DX Vs DJIA suggests the long-term trend is still dollar bearish till the Dollar Index is not closing above 84.50 on monthly basis.


FX Pair             Trend               Resistance 2   Resistance 1   Support 1      Support2


EURUSD           Sideways-Up   1.3240             1.3120             1.3040             1.3010
USDJPY            Sideways         82.80               82.50               81.60               81.20
GBPUSD           Sideways-Up   1.6170             1.6130             1.6070             1.6050
USDCHF           Sideways         0.9300             0.9280             0.9230             0.9210
EURJPY            Sideways-Up   108.90             107.80             107.20             106.80
AUDUSD          Sideways         1.0540             1.0480             1.0380             1.0330

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