Stocks
Dow (25017.44, -1.56%) came off from 25500, making the levels important now as it has not managed to break above 25500 with 3-attempts in the last 5-sessions. While above 24750, the index could again rise towards 25500 in the near term and if it does not manage to break on the upside, a sharp fall towards 24500 is possible in the medium term.
Dax (11244.54, -0.85%) has moved lower indicating strong bears just now. While the fall continues, we could see a test of 11100-11000 levels in the near term.
The Nikkei (21631.28, -0.87%) could fall towards 21200-21000 in the near term while below 22000.
Shanghai (2675.23, -1.05%) tested an intra-day high of 2703 but could not sustain at those levels. A break above 2700 is needed to initiate a fresh upmove else a fall back towards 2600-2550 is possible in the coming sessions.
The Nifty (10763.40, +0.76%) is headed towards decent resistance at 10900 from where a small decline is possible. Alternatively, if the index breaks above 10900, it could target 11000 in the longer run.
Similarly, 36000 is the level for Sensex (35774.88, +0.90%) from where a small dip is possible, else the upmove could continue with new higher targets.
COMMODITIES
Brent (66.58) and WTI (57.06) are trading sideways just below immediate resistances near 68 and 59. While the resistance levels holds and the range movement continues, We could see a small decline towards 65 and 56-55 respectively.
Gold (1222.50) is headed towards important near term resistance at 1230 which if holds, could produce a decent decline in the near term back towards 1210. A break above 1230, if seen would open up chances of testing 1250 on the upside.
Copper (2.7910) has resistance at 2.80 and higher at 2.85 which are likely to hold in the near term. 2.80 could possibly break on the upside but a rejection from 2.85 looks possible bringing back the price towards 2.70 in the medium term.
FOREX
Euro might rise some more towards 1.155; whereas Aussie might dip towards 0.725 and USDINR might respect the 71.50 support in this week atleast.
Dollar Index (96.21) is testing crucial support near 96.20 on daily candles, but from weekly candles and 3 day line chart, we still see some room for a fall till 96.0-95.8 before a rise back from there (maybe in the next week).
Euro (1.1448) : There are chances that Euro might move up till 1.155 before coming off from there. There is resistance near 1.15 on 3 day line chart and near 1.155-1.160 on weekly candles which could be tested in the near term, before Euro dips from there again.
Dollar Yen (112.61) could fall more towards 112 in the near term. As mentioned yesterday, the 21 weeks MA at 111.8 could also be a crucial support level. Current preference is for 112 to be tested in the near term. Break below 111.8 could be quite bearish if it happens.
Pound (1.2858) could have resistance near 1.2900-1.2925 and higher up, near 1.300-1.305. While below 1.2925, preference is for it to move lower towards support near 1.27 before moving back up from there.
Aussie (0.7291) might be seeing an interim dip after testing resistance on 3 day candles near 0.734 yesterday. This dip might continue in this week till support near 0.7250-0.7225.
Euro Yen (128.91) might rise till resistance near 129.25 or max till 130, before coming off from there in the near term.
Dollar Rupee (71.645): USDINR might respect the 71.50 support for a few sessions now – however, a break below 71.50 after that is a possibility to stay alert for.
INTEREST RATES
US 10 Year yield (3.06%) : If it breaks below 3.05%, there is stronger and more crucial support near 3.0% which should hold in the near term.
Keep watching if this 3% support holds in the coming couple of weeks. If it breaks, there might be lower support near 2.9% as well.
German 10 year yield (0.37%) : As mentioned yesterday, there is still some room for further downmove towards support near 0.30% in the near term, before an eventual rise from there back towards 0.5%.
The German-US 10 Year yield spread (-2.69%) is at crucial resistance near -2.70% from where it should again dip. Alternatively, a break above this resistance could be a bullish indicator for German yields and bearish indicator for US yields.
