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1. FX Beat Inside View
Page 2 Market Recap, Treasuries,
Briefs, Institutional Positions
Page 3 Economic Data Preview,
Key events, Top News
Page 4 Fundamental Analysis
Page 5 Economy Watch, Trade
Views
Page 6 Individual Forecasts
Page 7 Hedging Perspectives
Page 8 Trade Positions
Page 9 Technical Analysis
Page 10 Trade Idea
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● USD: The dollar struggled to gain traction as investors were awaiting the outcome
of a FOMC meeting for clues whether bets on a single U.S. rate rise in 2016 are jus-
tified. The dollar index last stood flat at 99.074, nursing a 0.3 pct loss posted on
Tuesday.
● EUR/USD: The euro is consolidating in a narrow range between 1.07800-1.09800
for the past one week. Markets await for FOMC for further direction. It is expected
to keep interest rates on hold later today. The financial market mayhem will prevent
the Fed from hiking the rates further. Technically the pair is facing resistance around
1.0880 and break above will take it to next level 1.0950/1.0980/1.100. On the
downside support is around 1.0780 and break below targets 1.0710/1.06700 level.
Overall bullishness can be seen if it closes above 1.1000.
● USD/JPY: The pair has reached a level of 118.62 yesterday and started to decline. It
was trading around 118.30, short term trend is marginally bullish as long as support
117.50 holds. Major support is around 117.50 and break below targets 116.80/116.
On the higher side minor resistance is around 118.85 and break above will take it till
119.30/120.
● GBP/USD: The dip in European and Asian stock markets kept Sterling back under
pressure ahead of global central bank events that may test its stability above $1.40.
It was down quarter of a percent against both the dollar and euro. By 0942 GMT,
sterling traded at $1.4318 and 75.88 pence per euro respectively. The pair has bro-
ken major resistance 1.4270 (Tenken-Sen) and jumped till 1.43670. On the top side
the resistance is at 1.4370 and a break above will take the pair to next resistance
1.4400/1.4500. It will be facing psychological support at 1.4300 (55 day 4H EMA)
and break below targets 1.4270/1.4250. Short term weakness is only below 1.4250.
● USD/CHF: The pair has made a high of 1.01980 and slightly declined from that level.
It was trading around 1.01469, short term trend is bullish as long as support 1.0500
holds. Any break above 1.0200 will take it till 1.02501.0300 is possible. On the lower
side minor support is found around 1.0080 and a break below will drag the pair till
1.0050/0.9990. Short term bullish invalidation is only below 0.9990. The Swiss franc
was 0.1 percent up against the euro at 1.0390 francs.
● AUD/USD: The Australian dollar hit a 3-week high after one measure of domestic
inflation came in slightly higher than expected, and as less jittery global markets gave
a small boost to appetite for riskier currencies. A higher than expected inflation data
will minimize the chance of RBA to cut interest rates. The Aussie rose to as high as
$0.7052 before easing back to $0.7027, still leaving it up 0.3 percent on the day.
Resistance was found around $0.7050, a level that has proved difficult to breach in
recent weeks. A break would target $0.7080. Short term trend is slightly bullish as
long as support 0.6920 holds. On the higher side major resistance is around 0.7060
and break above targets 0.7115/0.7170. The minor support is around 0.6920 and
break below will drag the pair till 0.6820.
● NZD/USD: The Kiwi was flat at $0.6497 ahead of the RBNZ decision, with most
analysts expecting interest rates to be left on hold for now. It consolidated recent
gains as investors awaited the outcome of FOMC meeting.
1
January 27th, 2016
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2. 2 www.econotimes.com
Market Recap
● European shares plunged as weak earnings and oil
slump weigh on markets before FOMC meeting to-
day. Pan-European FTSEurofirst 300 dropped just
over 0.5pct in early trading. UK's FTSE fell 0.1 pct,
Germany's DAX fell 0.4 percent and France's CAC
lost 0.2 pct.
● Tokyo's Nikkei closed up 2.7pct, Shanghai Com-
posite Index closed down 0.5 percent at 2,735.56
points while China's CSI300 Index dropped 0.3 pct
at 2,930.35 points. HK’s Hang Seng Index finished
up 1.0 pct at 19,052.45 points.
● Oil futures dropped after an unexpected increase
in U.S. inventories wiped out the optimism over the
potential for the world's largest exporters to scale
back output enough to stem a 19-month-long price
fall. Brent crude fell 55 cents to $31.25 per barrel
by 0924 GMT. U.S. crude futures dropped 94 cents
to $30.51 a barrel.
● Gold was trading near a 12-week peak supported
by a softer dollar as investors await the outcome of
the FOMC meeting. Spot gold was flat at $1,119.46
an ounce by 0630 GMT, U.S. gold for February de-
livery was little changed at $1,120 per ounce.
Treasuries
● Bond markets were keenly waiting for Fed's post-
meeting statement, due at 1900 GMT. Markets now
expect only one more rate hike in 2016 rather than
the four Janet Yellen and her colleagues suggested
in December.
● The benchmark 10-year U.S. Treasury note yield
fell around 2bp overnight to 1.9941. The more in-
terest-rate-sensitive 2yr yield hovered at 0.8567.
● UK Gilts opened 18 ticks higher than the settle-
ment of 119.27, as predicted, as Gilts played catch
up to a late rally into the close from the euro zone.
Buyers drew further support from the below fore-
cast January Nationwide House Prices which came
in below forecast.
● In Europe, yields were slightly lower as small in-
creases in French consumer and industry sentiment
and Italian retail sales did little to alter expecta-
tions that the European Central Bank is on track to
lower its interest rates again. Italian 10-year bond
yields fell 3 bps to 3-week low of 1.48 percent.
● New Zealand government bonds gained, sending
yields 2.5 bps lower at the long end of the curve.
Australian government bond futures were mixed,
with the 3-year bond contract down 4 ticks at
98.060. The 10-year contract was half a tick higher
at 97.3100, while the 20-year contract was 2 ticks
firmer at 96.8300.
Market Briefs
● DXY flat at 98.990, GBP index off 0.35%, EUR up
0.15%
● EUR/USD struggling for direction-1.0851-1.0882
range
● USD/JPY also tight 118.05-118.47
● US Crude down 3.8%, Brent 2.8% lower-Kremlin
view noted
● GBP/USD 1.4292-1.4351 and on lows into NY
● UK Jan Nationwide house prices +0.3% m/m vs
+0.8% previous, +0.6% expected.
● UK Dec Mtg approvals hit a 7 month low.
● Germany Feb GFK Consumer Sentiment remains
unchanged at 9.4, 9.3 expected
● Germany Govt lowers 2016 GDP forecast to 1.7%
from 1.8% previous.
● Thursday June 23 mooted Brexit referendum Date
–Evening Standard.
● Kremlin-no specific plans for possible coordinated
action on oil.
● China Dec industrial profits -4.7% y/y, Jan-Dec -
2.3%.
● Iran has warned U.S aircraft carrier to leave Sea of
Oman.
Institutional Positions
● Stay long EUR/AUD in cash as euro shorts are substan-
tially larger and AUD shorts substantially smaller than dur-
ing the autumn 2015 sell-off- J.P. Morgan.
● Keep strategic JPY exposure by adding a one-touch calen-
dar spread in NZD/JPY- J.P. Morgan.
● Take tactical profits on short USD/JPY (held as a covered
put) ahead of the BOJ (40% chance of the BOJ pulling for-
ward further easing)- J.P. Morgan.
● Long AUD/NZD, expecting it to reach 1.10 by year-end,
long AUD/KRW, targeting 920- BoFA Merrill Lynch.
● Short EUR/SEK, as the ECB is expected to do more than
the Riksbank this year, in response to more severe defla-
tion risks- BoFA Merrill Lynch.
● We are short EUR/JPY, expecting it to weaken to 114
from currently 128 by the end of the year- BoFA Merrill
Lynch.
● We remain long an ice Brent Dec’16 $60 versus $70 call
spread- J.P. Morgan.
● We stay short Jun’16 vs. jun’17 ice Brent crude oil on ex-
pectations of these further stock builds- J.P. Morgan.

3. Economic Data Preview
● (1400 ET/1900 GMT) The U.S. Federal Reserve's
FOMC two-day meeting on interest rate concludes,
followed by the statement.
● (1000 ET/1500 GMT) The new U.S. single-family
home sales likely rose 2pct to a 500,000-unit pace
in December, an indication that housing remains on
firmer footing even as the economy is slowing.
● (1500 ET/2000 GMT) The RBNZ is set to announce
its interest rate decision that is likely to stand pat
at 2.5 pct.
● (1645 ET/2145 G MT) The Statistics New Zealand
releases its data on trade balance, exports and im-
ports for December.
Key Events
● No major events scheduled.
Top News
● The Federal Reserve is expected to leave interest
rates unchanged on Wednesday and acknowledge
that turmoil in financial markets threatens its up-
beat view of the U.S. economy, leaving the chances
of a March hike diminished but alive.
● Germany has trimmed its 2016 economic growth
forecast to 1.7pct from a previous estimate of 1.8
percent, the government said on Wednesday, as an
economic slowdown in emerging markets puts a
strain on exporters in Europe's largest economy.
● U.K. house prices rose at a slower pace than an-
ticipated in January, although momentum in the
housing market looks set to pick up through 2016
as a whole, mortgage lender Nationwide said on
Wednesday.
● French consumer confidence rose to 97 in January,
the same level as in November, when it reached its
highest in more than eight years, the official INSEE
statistics agency said on Wednesday.
● Sentiment among Italian businesses fell sharply in
January but consumer morale rose to a new record
high, data showed Wednesday.
● Activity in China's vast factory sector likely con-
tracted for the sixth consecutive month in January,
a Reuters survey showed, underlining a weak start
for the year and heightening concerns of a deeper
economic slowdown.
● Bank of Japan policymakers would prefer to hold
back additional monetary easing at their meeting
on Friday, people familiar with the central bank's
thinking say, though global market volatility could
yet force their hand.
● U.S. consumer sentiment improved in January de-
spite a stock market rout and house prices acceler-
ated in November, suggesting underlying strength
in the economy despite a sharp growth slowdown
in recent months.
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4. 4 www.econotimes.com
FundamentalAnalysis
Expect no policy action at FOMC meet, March also likely to
be a close call
The FOMC is largely expected to remain patient in the current
environment at its 26-27 January 2016 meeting and its out-
look for the labor market and inflation is unlikely to change
materially. Focus will remain on the following statement and
market participants will be looking closely for clues regarding
a possible March rate hike. Data since the December Fed
meeting has definitely not been supportive of further tighten-
ing any time soon. The FOMC has emphasized the importance
of incoming data to their decisions going forward. And in the
current scenario a March increase also looks like a close call.
The Fed is expected to keep the Fed funds rate target un-
changed at 0.25-0.50%, and may sound dovish in the accom-
panying statement. Much has happened since December
2015 meeting, following the initial lift-off. The oil price has
slumped further, owing to the renewed concerns about the
slowdown in the Chinese economy and Middle-East tensions.
The US equity markets have had the worst start to the year,
long-term market inflation expectations have declined and
data have been weak. The statement is likely to acknowledge
these developments. The subdued core inflation will probably
give the Fed time to stay patient before moving on with the
next hike.
The Fed has on several occasions communicated that it will
monitor incoming data and the financial conditions before
moving on with the next hikes. It is definitely going to be a
tough task for the FOMC to acknowledge the recent deterio-
ration in economic and financial conditions while at the same
time keep the door open for a possible interest rate move in
March should the recent deterioration proves temporary.
"We expect the Fed to recognize that two months are not enough
to ensure that the upturn remains on track. We think the FOMC
will reinstate phrases that it ‘is monitoring global economic and
financial developments’ (or something similar), which were re-
moved in the December statement", says Danske Bank in a re-
search note.
Markets also worry that the Fed might tighten too much too
quickly, especially since US data has disappointed recently.
This was evidenced in a relief rally post Bullard's comments in
which he expressed his concerns about the falling inflation
expectations. Markets have priced in one full hike this year
and one hike next year. They have assigned a 25% probability
of the second hike in March, 36% in April and 56% in June.
‚Our central scenario assumes a March increase and a total of
three hikes this year. Admittedly, March looks like a close call at
the moment given the recent slowdown in activity and tighter
financial conditions." says SocieteGenerale in a report.
The dollar remained subdued, struggled to hold ground on
Wednesday as the market await for clues on interest rate
policy from the Federal Reserve. The dollar index was barely
changed, 0.01 percent down at 99.026 at 0940 GMT. At the
time of writing, EUR/USD was trading at 1.0867, while USD/
JPY was at 118.24.

5. 5 www.econotimes.com
Economy Watch
● China will not cause sizeable negative spillovers to the global economy by showing that the trade, portfolio and commodity
channels suggest otherwise- BoFA Merrill Lynch.
● China is on track to deliver 6.6% growth this year supported by rebalancing to services and stabilization of the property
sector- BoFA Merrill Lynch.
● Barclays: Mexico’s labor market remains unpressured as the unemployment rate remains above the pre-crisis levels (below
3.5%) and might remain above for the whole year, as economic activity will likely stay modest.
● Reuters Survey-ECB to allot 68.0 bln euros at weekly and 16.0 bln euros at 3-month tenders (65.197 bln; 18.125 bln euros
maturing).
● Reuters Survey-50 pct chance European Central Bank increases monthly asset purchases in March –traders.
● Greek central bank chief Stournaras expects 0.2 pct economic contraction for 2015.
● Greek central bank chief says economy to stay in recession in H1 2016.
● Greek central bank chief says successful completion of bailout review will improve economic climate.
● Greek central bank chief says Greek economy can rebound in 2016.
● Brazil's 2017 GDP growth forecast 0.80 pct vs 1.00 pct previous week - Weekly central bank survey.
● Brazil's 2016 GDP growth forecast -3.00 pct vs -2.99 pct previous week - Weekly central bank survey.
● Brazil's 2017 inflation forecast 5.65 pct vs 5.40 pct previous week - Weekly central bank survey.
● Brazil's 2016 inflation forecast 7.23 pct vs 7.00 pct previous week - Weekly central bank survey.
● German govt lowers GDP growth forecast for 2016 to 1.7 pct from 1.8 pct previously.
● German govt says federal budget will also be balanced in 2016, no need to take in net new debt.
● German govt says state debt ratio will fall below 70 pct of GDP in 2016.
● Indonesia finance minister says 2015 budget deficit around 2.57 pct of GDP.
● China statistics bureau says weak demand caused slow growth in production, sales in 2015.
Policy Watch
● Brazil's 2016 year-end Selic rate forecast 14.64 pct vs 15.25 pct previous week - Weekly central bank survey.
● We see limited room for the CBR to ease its policy in h1 16, but we still consider a revival of the easing cycle in H2 16
highly probable- Societe Generale.
● SARB to hike 25bp hike next week with risks skewed toward a 50bp move - J.P. Morgan.
● We look for further rate cuts ahead in Indonesia, Malaysia, Thailand, the Philippines, and Taiwan- J.P. Morgan.
● BOJ to ease in April by increasing the pace of purchase of JGBS, equity-linked ETFS, and J-REITS- J.P. Morgan.
● The Sonia curve is no longer pricing in a first rate increase by the BoE this year- Societe Generale.
● The subdued core inflation gives the Fed time to stay patient before moving on with the next hike- Danske Bank.
●The Fed is likely to be reluctant to raise rates in the current financial environment and with disappointing key economic fig-
ures- Danske Bank.
● Markets price in one full hike from U.S. fed this year and one hike next year.
● Markets assign a 25% probability of the second hike in March, 36% in April and 56% in June.
Trade Views
● CHF/JPY to weaken to 102 by year-end, from currently 116.8.- BoFA Merrill Lynch
● CNY will likely remain under depreciating pressure vs. the US dollar through 2016 as market forces play a more significant
role in determining its value and China gradually opens its capital account in August- Scotiabank.
● BoC to ease policy further causing further CAD weakness – Barclays.

6. Forecasts
6 www.econotimes.com
GBP/USD
CONTRIBUTORS 1 MTH 3 MTHS 6 MTHS 12 MTHS
4CAST 1.4575 1.4650 1.4850 1.4500
AIB 1.4700 1.4700 1.4500 1.4400
ANZ BANK 1.4700 1.5000 1.5000 1.5200
ALPHA BANK 1.4800 1.4600 1.5000 1.5200
AUREL 1.4800 1.5000 1.5200 1.5000
BBVA 1.4900 1.5200 1.5800 1.7000
BMO 1.4900 1.4750 1.4550 1.5000
BNP PARIBAS 1.4900 1.5100 1.4800 1.5200
BANCO BPI 1.4500 1.4200 1.4400 1.5500
BANCO SANTANDER 1.5000 1.6000 1.6200 1.6400
BANK OF AMERICA 1.4700 1.4700 1.4700 1.4400
BANK OF TM U 1.4700 1.4600 1.4600 1.5600
CA CIB -- 1.5100 1.5100 1.4900
CIBC 1.5000 1.5400 1.6100 1.5500
COMMERZBANK -- 1.4900 1.4900 1.5200
CREDIT SUISSE 1.4800 1.4900 1.4700 1.4500
DNB 1.5300 1.5400 1.5400 1.4500
DZ BANK 1.4500 1.4200 1.4200 1.4600
DANSKE BANK 1.4930 1.5143 1.5714 1.5890
DESJARDINS 1.4800 1.4800 1.4700 1.5000
DEUTSCHE BANK -- 1.4600 1.4000 1.2800
EUROBANK 1.4850 1.5000 1.5100 1.5400
GOLDMAN SACHS 1.4900 1.5100 1.5000 1.4700
HSBC 1.5000 1.5500 1.5800 1.5000
IHS GLOBAL 1.4720 1.4630 1.4700 1.5600
ING FIN MARKETS 1.5000 1.5000 1.4000 1.5300
INFORMAGLOBAL 1.4750 1.4700 1.4800 1.4500
INVESTEC 1.4900 1.5100 1.5700 1.5500
JULIUS BAER 1.4670 1.4324 1.4459 1.5132
MIZUHO SECURITIES 1.4600 1.4500 1.4400 1.5000
MORGAN STANLEY 1.4600 1.4500 1.4100 1.4000
NOMURA CO 1.5100 1.5700 1.5200 1.5400
NORDEA BANK 1.5001 1.5520 1.5619 1.5231
OCBC 1.4620 1.4560 1.4507 1.4400
POHJOLA BANK 1.4800 1.5200 1.5200 1.5400
RBC 1.5000 1.5100 1.4700 1.4800
RABOBANK 1.4800 1.4600 1.4600 1.4900
RBS 1.4700 1.4900 1.4700 1.4300
SEB 1.5300 1.4700 1.4100 1.4100
SAXO BANK 1.4500 1.4400 1.3800 1.3000
SCOTIABANK 1.5100 1.5100 1.4900 1.4400
ST GEORGE BANK 1.5100 1.5100 1.5300 1.5800
SOCIETE GENERALE -- 1.4800 1.4900 1.4500
SWEDBANK 1.5000 1.4400 1.3900 1.5600
UNICREDIT 1.5800 1.5800 1.6000 1.6300
WELLS FARGO 1.5200 1.5200 1.5100 1.4900
ZUERCHER KAN 1.4700 1.5200 1.5200 1.5100
USD/JPY
CONTRIBUTORS 1 MTH 3 MTHS 6 MTHS 12 MTHS
4CAST 120.00 124.00 127.00 128.00
ALLIED IRISH 121.00 123.00 124.00 125.00
ALPHA BANK 120.60 123.00 124.00 125.00
ANZ BANK 118.00 117.00 115.00 115.00
AUREL 120.00 123.00 121.00 125.00
BANCO BPI 120.00 125.00 130.00 125.00
BBVA 125.00 128.00 131.00 133.00
BMO 122.00 123.00 124.00 127.00
BNP PARIBAS 120.00 128.00 130.00 134.00
BOFAML 125.00 128.00 125.00 120.00
BTMU 119.00 120.00 119.00 117.00
CIBC 122.00 125.00 124.00 120.00
CREDIT SUISSE 121.35 126.00 127.33 130.00
DANSKE BANK 124.00 124.00 125.00 125.00
DESJARDINS G 121.00 123.00 124.00 127.00
DNB 124.00 126.00 130.00 132.00
DZ BANK 120.00 122.00 125.00 125.00
EUROBANK 120.00 119.00 117.00 115.00
GOLDMAN SACHS 120.90 122.00 125.00 130.00
HELABA 121.00 125.00 123.00 125.00
HSBC 122.00 125.00 120.00 115.00
IFR MARKETS 125.00 120.00 122.00 120.00
IHS GLOBAL 121.09 122.12 123.28 125.51
INFORMAGLOBAL 120.00 123.00 123.00 128.00
ING FINANCIAL 122.00 123.00 125.00 120.00
INVESTEC 121.00 122.00 122.00 122.00
JULIUS BAER 119.00 120.00 120.00 118.00
MIZUHO SEC 120.00 123.00 128.00 130.00
MORGAN STANLEY 121.10 125.00 121.00 115.00
NOMURA 122.26 126.25 127.50 130.00
NORD/LB 121.03 122.00 122.50 123.50
NORDEA BANK 120.19 120.05 117.84 115.35
OCBC 117.65 117.50 118.67 121.00
POHJOLA BANK 122.00 123.00 127.00 131.00
RABOBANK 121.00 122.00 123.00 125.00
RBC 123.00 128.00 132.00 128.00
RBS 120.00 122.00 123.00 123.00
SANTANDER 120.00 125.00 125.00 125.00
SAXO BANK 120.00 125.00 126.00 125.00
SCOTIABANK 124.00 128.00 129.00 131.00
SEB 122.00 123.00 127.00 127.00
SOCIETE GENERALE -- 123.00 124.00 125.00
ST GEORGE BANK 124.00 125.00 126.00 124.00
SWEDBANK 120.00 121.00 122.00 124.00
UNICREDIT 125.00 125.00 126.00 127.00
WELLS FARGO 121.00 121.00 122.00 124.00
ZKB 120.30 123.00 124.00 126.00

7. 7 www.econotimes.com
Hedging Perspectives
EUR/USD diagonal straps more suitable for risk averse
Hedging sentiments in OTC markets are retrogressive to what we've been seeing from last couple of months, to keep it pre-
cise we could notice neutral to slightly bullish hedging arrangements for next 1W-1M expiries (see risk reversals for 1W-1M
expiries).
The implied volatility of ATM contracts with 1w-1m expiries inching lower and underlying pair shifting in range bounded trend
turns previous negative risk reversals into positive for 1 week's expiries and neutral for 1 month's expiries. We urge that this
situation as a rosy opportunity short term bulls as the neural delta risk reversals for next 1m contracts.
This could be attributed as bullish momentum is intensified in the spot FX market and overpriced calls eyeing on short term
upswings but keeping overall major trend to prolong bearish noises. Hence, the strategies have to be constructed so as to
match this fluctuating trend.
Although we could see a little price bounces in near term as the daily chart suggests some buying interest caused by whip-
shaws to the previous downswings that would result in some price recoveries but we maintain our target at 1.0709 levels
towards south back again in medium term, same is the OTC market indications as stated above.
As a result, we recommend building portfolio with 2 lots of long positions in 1m 0.50 delta ATM calls and 1 lot of -0.49 delta
ATM puts of 3m expiries.
Hence, this EUR/USD option strips strategy should take care of any abrupt upswings in short term and certain downswings
and yields handsome returns on the downside in long term.
Delta of far OTM options is very small which is why we've chosen ATM instrument on call. A 1-point movement in underling
pair will not have much effect on the option premium.

8. Trade Positions
8 www.econotimes.com
EUR/USD USD/JPY GBP/USD USD/CHF AUD/USD EUR/GBP
RESIST3 1.0900 118.88 1.4445 1.0255 0.7049 0.7756
RESIST2 1.0880 118.85 1.4429 1.0200 0.7045 0.7664
RESIST1 1.0872 118.66 1.4367 1.0198 0.7031 0.7618
SUPPT1 1.0841 117.65 1.4268 1.0118 0.6946 0.7554
SUPPT2 1.0826 117.54 1.4255 1.0078 0.6919 0.7527
SUPPT3 1.0789 117.43 1.4175 1.0026 0.6876 0.7523
Strategy SELL BUY SHORT BUY SHORT SHORT
Price 1.0900 117.75 1.4300 1.0121 0.6900 0.7612
Target - - 1.4105 - 0.6530 0.7425
Stop - - 1.4405 - 0.7050 0.7695
EUR/JPY EUR/CHF USD/CAD GBP/JPY EUR/NOK EUR/SEK
RESIST3 129.04 1.1100 1.4295 184.65 9.7475 9.3445
RESIST2 128.76 1.1065 1.4246 183.95 9.7400 9.3180
RESIST1 128.75 1.1050 1.4192 183.37 9.7335 9.3152
SUPPT1 127.85 1.0966 1.4091 182.19 9.6145 9.2660
SUPPT2 127.46 1.0910 1.4065 181.04 9.5865 9.2595
SUPPT3 127.43 1.0898 1.4062 180.00 9.5125 9.2305
Strategy SHORT BUY - SHORT SHORT BUY
Price 128.34 1.1005 - 182.62 9.7400 9.2610
Target 126.50 - - 180.10 9.5250 -
Stop 129.40 - - 184.30 9.7510 -
NZD/USD AUD/NZD AUD/JPY USD/SEK USD/NOK USD/ZAR
RESIST3 0.6581 1.0847 101.24 - - 16.9600
RESIST2 0.6558 1.0840 99.91 - - 16.6525
RESIST1 0.6532 1.0803 99.01 - - 16.6015
SUPPT1 0.6472 1.0791 95.17 - - 16.3390
SUPPT2 0.6425 1.0785 94.78 - - 16.2780
SUPPT3 0.6411 1.0728 94.00 - - 16.0485
Strategy LONG LONG - SELL - SELL
Price 0.6455 1.0735 - - - 16.4600
Target 0.6670 1.1260 - - - -
Stop- 0.6348 1.0490 - - - -
Source: Aggregate trading positions of traders reported on Thomson Reuters FX matching platform

9. 9 www.econotimes.com
Technical Analysis
EUR/AUD faces strong support at 1.5400, good to buy at dips
● EUR/AUD has made a high of 1.5705 and declined from that level. It is currently trading at 1.5450.
● Its major support is at 1.5400 (trend line joining 1.4860 and 1.53409). EUR/AUD has broken major support 1.5400 and re-
covered quickly from that level. Any further break below 1.5400 will confirm minor trend reversal, a decline till 1.5300 is
possible.
● On the higher side upside has been capped around 1.5715 (Cloud bottom) and break above will take the pair to next level
around 1.5840.
● The minor resistance is around 1.5485 and any break above will take the pair to 1.5560/1.5600.
It is good to buyat dips around 1.5450 with SL around 1.53950 for theTPof 1.5500/1.5600

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Trade Idea
We prefer to long GBP/JPY above 170.30
Major resistance -170.35 (Jan 22nd 2016)
● The pair has once again recovered after making a low of 166.97. It is currently trading around 169.27.
● GBP/JPY reached 170 today morning and started to decline from that level. Any break above major resistance will take the
pair to next level 172/175.
● On the downside minor support is around 168.80 and break below targets 167/164.50.
It is good to buyabove 170.30with SL around 168.80for the TP of 172/175
RESISTANCELEVELS SUPPORT LEVELS
R1-170.35 S1-168.80
R2-172.00 S2-167.00
R3-175.00 S3- 164.50

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