Daily FX Perspective December 06, 2012 – GFM Research

Market Commentary
The Dollar Index is trading stable near the short-term support of 80.00 ranges. Only daily close below 79.00 ranges results in medium term Dollar weakness would continue though the long term Dollar bearishness is intact.
The benchmark equity index (.DJIA) is currently trading at 13000 with 13080-13100 acting as intermediate resistance. Only daily close below 12400 would put major trend in jeopardy else as the index consistently trades beyond 13300, major rally reinitiates.
Historic correlation between DX Vs DJIA suggests the long-term trend is still dollar bearish till the Dollar Index is not closing above 84.50 on monthly basis.

FX Pair     Trend            Resistance2  Resistance 1   Support1            Support2

EURUSD   Sideways       1.3130              1.3100                1.3040                 1.3010
USDJPY    Sideways       83.80                82.80                  81.60                   81.20
GBPUSD   Sideways       1.6170              1.6130                1.6070                 1.6050
USDCHF   Sideways       0.9300              0.9280                0.9230                  0.9210
EURJPY    Sideways       108.90              107.80                107.20                 106.80
AUDUSD   Sideways      1.0540              1.0480                1.0380                  1.0330


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