The Dollar Index has risen well above 102 and may test 103-103.50 before breaking lower, while the Euro is bearish below 1.0965 for a fall towards 1.0850/1.08. EURJPY is heading towards the upper end of the 154-158 range while USDJPY is expected to fall on a test of 144/145. The Aussie may rise towards 0.68, but the Pound may fall within the 1.2550-1.28 range.
USDCNY needs to break above 7.15/16 to maintain its bullishness, otherwise would be vulnerable to see the lower levels of 7.12-7.10 soon. USDRUB may test 91 soon. USDINR tested 82.90 before bouncing back. There could be some chances of a decline from 83.15/20 again. EURINR is bearish below 91.
US Treasury yields have risen slightly but are unlikely to hold. We expect yields to fall further in the coming days. German yields have bounced well off their support. If this holds, further gains are possible this week. The 10Yr and 5Yr GoI remained lower but stable. Outlook is bearish to see further decline from here.
Dow Jones and DAX outlook is bullish while above support 37000-36900 and 16600-16500 respectively. Nifty remains bullish for a test of its immediate resistance. Shanghai is trying to break below the support at 2925. Nikkei is bearish while below resistance at 33000-33500.
Crude has come down from levels below its key resistance and has room to fall from here. Gold can be range bound for a while with a bearish view. Silver looks bearish below 24.50. Copper may test the lower end of its range before a bounce. Natural gas tested its key resistance as expected and has fallen from there.
