Daily FX perspective September 14, 2012 – GFM Research

After the Fed chairman, Mr,Bernanke announced buying MBS and other assets to boost the job market, the Dollar stumbled to the month’s lows to currently trade at 79.02. DX seems to be heading towards the historic support of 78.00-78.70 ranges.

The benchmark equity index of the Dow Jones has managed to close above the recent high of 13300+ ranges to currently trade at 13540; 2007 highs of 14200 may again act as critical resistance zone before new rally resumes. Historic correlation between DX Vs DJIA is signifying USD bearishness in long-term, till monthly closing is not above 84.50; short term support is seen at 78.00-78.60.

NYMEX Crude also climbed up like other assets on the event of the Dollar falling again. Currently it is trading at $99.60 and seems to be heading towards $100.60 and next $102.00.

FX Pair     Support 2    Support 1    Resistance 1    Resistance 2

EURUSD          1.2880          1.2920             1.3060              1.3145
USDJPY            77.00            77.40               77.80                78.00
GBPUSD          1.6080          1.6130             1.6250              1.6280
USDCHF               –              0.9320              0.9380             0.9410
EURJPY           100.00          100.20             101.30              101.80
AUDUSD         1.0470           1.0540             1.0600              1.0630

GFM Research Private Limited

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