FOREX MORNING BRIEFING
Dollar has hit a significant resistance which may hold Dollar for a couple of sessions at least but considering the immense bullish momentum, as evident in Dollar Yen, one must be cautious before taking any weak-Dollar stance.
The Dollar Index (101.73) has achieved our target of 102.00 but now it needs a close above 102 to open up 104. A failure here can keep Dollar in the range of 100-102 for the next few sessions before a rally for 104 emerges.
Dollar-Yen (113.74) is close to our final target of 114.00 and a break above 114.00-50 may open up fresh upside targets of 115.50-116.00 from where a significant correction can begin. For the day, we keep watching the price action near 114.00-50 for immediate guidance.
The Pound (1.2445) is trading in a narrow range of 1.2350-1.2500 for the last 4 sessions but even a breakout is not expected to expand the range beyond 1.2300-1.2600 for the next 2-4 of sessions.
Euro (1.0568) is still holding above the 14-tyear low of 1.0486 with the bears taking a pause but a failure to bounce above 1.0640-60 immediately may push it down once again towards 1.0300.
The Aussie (0.7431), contrary to expectations, has recovered all the losses made in the last couple of sessions and now may rise further to 0.7500 levels before the selling pressure returns.
COMMODITIES MORNING BRIEFING
Commodities are overall bearish except Crude which is stable for now and may take some time to decide on further direction and Copper which may be close to a near term top.
Copper (2.6430) is trading above 2.60 for now and could move up towards 2.75-3.00 before coming off sharply from there to lower levels near 2.50/40 in the medium term.
Gold (1176.90) is under strong bear influence and we could easily see some more fall towards 1150-1130 in the near term.
Silver (16.27) on the other hand is ready to break immediate support near current levels and could also come off towards 16.00-15.65 in the near term.
Brent (48.93) and WTI (47.92) are stable near current levels. It is possible that the crude may remain stable for a few more sessions before the OPEC meeting due 30th Nov. As mentioned yesterday, we need to keep an eye on crucial resistance near 50-52 levels on both.