Friday, February 21

Asad Rizvi

Market seems stuck up with quite a few things that includes political and financial matters. Discussion about FED tapering and its impact on US and spillover effect on global economies have been going on since months that gave shiver to emerging markets couple of months ago, which is still brittle. Economic conditions in China is not very supportive to good growth,  which is not good news for its active trading partners. Ukraine poses risk for European and neighboring markets. Therefore, market is unsure about the end result, which means lingering of problems surely posses threat to growth and stability.

It seems that financial market is not happy with current ongoing global developments and the sentiments are mixed, as weak US data is not having greater impact on US Dollar and there is a slight shift to wards safe heaven assets.

US economic data released last night was mixed that did not have much impact on the market, as it has started to realize that poor performance is due to bad weather condition that should be short lived. Today's existing US Homes Sales may not have larger impact on the market. Hence, it is expected US economic recovery will take few more weeks before turnaround occurs.

GMT 3:17 - GOLD @ $ 1319 = Gold needs to hold below $ 1325 resistance levels for a move towards $ 1310-12. Break will encourage for further losses. However, if gold close above the resistance level, it could be heading for $ 1355 next week.

GMT 3: 24 - EURO @ 1.3719 = We could see a feeble upside attempt towards 1.3755-60 only on break of 1.3725-30 zones. On the downside break of 1.3690 will encourage for a test of 1.3670. 

GMT 3:29 - GBP @ 1.6654 = If Cable is unable to break above 1.6680-90 zones, there is a risk for a move towards 1.6610-20. But buyers could emerge on dip, as strong support at 1.6550 should not surrender. 

GMT 3:32 - JPY @ 102.46 = JPY needs to hold support 102.10 for a move towards 102.60-70 zones and is required to penetrate beyond 102.98 for 103.20 or else 101.90.

GMT 3:36 - AUD @ 0.8987 = Today's trading range is between 0.8930 - 0.9020. Unless break out occurs, it is likely to find buyers on dip.

DISCLAMER : The commentary/information presented is not intended for trading purpose. The idea is to exchange views with the members/readers. Therefore, I accept no responsibility or liability for any losses incurred due to position taking.