Currency snapshot (major pairs)

Dollar index trading at 100.52 (+0.03%)

Strength meter (today so far) – Euro +0.05%, Franc +0.08%, Yen -0.04%, GBP -0.53%

Strength meter (since last week) – Euro +0.67%, Franc -0.18%, Yen -0.65%, GBP -0.89%

EUR/USD –

Trading at 1.073

Trend meter –

• Long term – Sell, Medium term – Sell, Short term – Sell

Support                      

• Long term – 1.01, Medium term – 1.032, Short term – 1.054

Resistance –

• Long term – 1.13, Medium term – 1.11, Short term – 1.09

Economic release today –

• NIL

Commentary –

• The euro is testing key support turned resistance at 1.08. Active call – Sell EUR/USD at 1.116 with stop loss at 1.15 and target at 1.01. stop loss revised to 1.13

GBP/USD –

Trading at 1.26

Trend meter –

• Long term – Sell, Medium term – Sell, Short term – Sell

Support –

• Long term – 1.16, Medium term – 1.2, Short term – 1.2

Resistance –

• Long term – 1.32, Medium term – 1.27, Short term – 1.27

Economic release today –

• BRC shop prices declined by 1.7 percent in November.
• Halifax house prices are up 6 percent in three months to November from a year ago.
• Manufacturing production declined by 0.9 percent in October, down 0.4 percent from a year back.
• Industrial production declined 1.3 percent in October.

Commentary –

• The pound is up further on weaker dollar. We expect the pound to reach parity.

USD/JPY –                      

Trading at 114

Trend meter –

• Long term – Sell, Medium term – Range/ Buy, Short term – Buy

Support –

• Long term – 91, Medium term – 98, Short term – 105

Resistance –

• Long term – 119, Medium term – 115, Short term – 115

Economic release today –

• Leading economic index came at 101 in October.
• Coincident index came at 113.9 in October.

Commentary –

• The yen is testing key support around 115 area. Further decline likely after correction.

USD/CHF –        

Trading at 1.01

Trend meter –

• Long term – Buy, Medium term – Range, Short term – Range/Buy

Support –

• Long term – 0.9, Medium term – 0.927, Short term – 0.95

Resistance –

• Long term – 1.08, Medium term – 1.037, Short term – 1.037

Economic release today –

• Forex reserve rose to 648 billion.

Commentary –

• Franc is relatively worse performer compared to the euro. Franc might decline to 1.08 per dollar.