-- Posted Friday, 5 March 2010 | Digg This Article
| | Source: GoldSeek.com
GENERAL MARKET CONDITIONS/FUNDAMENTAL FACTOR
Yesterdays fall in gold, silver and copper was just a correction and nothing else. All the commodities are still floating over their key technical support and are in a bullish zone. US February non farm payrolls will be the key but the US dollar could gain even if the numbers are below street expectation on snow effect in the east coast last month. Traders and investors are cautious at the current prices and will take fresh short term positions in US session once all the economic numbers are out.
INTRA DAY TRADING STRATEGY
Fresh wave of selling will be there only on a consolidated fall yesterday’s low. As long as yesterdays lows are holding downside risk will be limited. Today’s post closing will set the direction for the rest of the month.
NYMEX CRUDE OIL (1ST CONTRACT)
Bullish over $79.40 with $81.70 and $83.20 as price target
Bearish below $78.30 with $77.20 and $76.20 as price target
Neutral Zone between $78.30 and $79.40
We prefer a buy on sharp dips strategy as long as $78.10 holds and that selling if preferable only if crude oil fails to break past $82.20-$82.70 zone.
MCX – SX -- GBP/INR MEDIUM TERM VIEW (3-6 MONTHS TIME)
GBP/INR is at a multi year low and can fall further to 68.27 and 66.90 in March if the US dollar continues its gains against the cable. I expect GBP/INR to recover the fastest against the Indian Rupee among the major currencies. The quicker the fall the faster are the chances of a recovery. We maintain 74.50 and 77.50 as price targets for GBP/INR in the next three months to six months. With every slide the risk to return ratio moves in favour of the buyer.
DISCLOSURE: NO POSITIONS
Disclaimer: Any opinions as to the commentary, market information, and future direction of prices of specific currencies, metals and commodities reflect the views of the individual analyst, In no event shall Insignia Consultants or its employees have any liability for any losses incurred in connection with any decision made, action or inaction taken by any party in reliance upon the information provided in this material; or in any delays, inaccuracies, errors in, or omissions of Information. Nothing in this article is, or should be construed as, investment advice. Prepared By Chintan Karnani. Website www.insigniaconsultants.in
For further clarifications on this report call 91-9312335649 (Mr. Chintan Karnani)
Yahoo chat: chintan342@yahoo.co.in
You can also mail your queries at chintan@insigniaindia.com
-- Posted Friday, 5 March 2010 | Digg This Article | Source: GoldSeek.com
