-- Posted Thursday, 7 October 2010 | Digg This Article
| | Source: GoldSeek.com
GENERAL MARKET CONDITIONS/FUNDAMENTAL FACTOR
No stopping for the commodities at all and for a weaker US dollar. All the negative news is being ignored while positive news is acted upon. Currency appreciation is causing furor among emerging nations as every nation wants a weaker currency to lead an export led recovery. The currency rat race has just begun and it remains to be seen how central banks will react to their respective appreciation or depreciation. On the surface it seems that the federal reserve is deliberately following a weaker US dollar policy so that it can lead the US economy through an export lead recovery. If every country wants an export led recovery then what will happen to the globe? U decide and U understand the same as well. The central bankers do not want to change the foundations of their countries so that it is a domestic demand lead recovery. They just want an easy route of export led recovery.
Technically overbought conditions still exist and a correction can happen anytime as when there is selling news. But momentum is very bullish.
COMEX TECHNICAL VIEW
NYMEX CRUDE OIL (1ST CONTRACT)
Bullish over $82.00 with $84.60 and $87.20 as price target
Bearish below $81.10 with $79.60 and $77.50 as price target
Crude oil targets $86+ as long as it trades over $82.0
MCX COPPER NOVEMBER
Intra day copper targets INR 371 and INR 381 as long as it trades over INR 363. Only a close below INR 363 on Saturday and open below INR 363 on Monday morning will result in a short term bear phase.
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
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-- Posted Thursday, 7 October 2010 | Digg This Article | Source: GoldSeek.com
