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Week ended 12th August, 2011 – Currencies this week.


Major currencies were flat this week though things are not same for other currencies like YEN & Swiss FRANC. Look like investors are not sure about their future investments in Europe and US.

CURRENCY
12th-August-2011
8/5/2011-8/12/2011
7/29/2011-8/5/2011




USD
74.607
0.01%
0.94%
EURO
1.424
-0.28%
-0.83%
AUD
1.035
-0.95%
-4.91%
YEN
76.77
-2.19%
1.68%
RUPEE
45.44
1.42%
1.47%
SWISS FRANC
0.773
1.31%
-3.17%
S.African RAND
7.174
4.13%
3.09%
Brazilian REAL
1.607
1.26%
2.32%
Mexican PESO
12.307
2.63%
2.26%


In the later days of the week investors were not sure about the further rise in Swiss FRANC, as some are expecting further rate cut. But things were not same with YEN though in later days it showed some better performance. South African RAND has depreciated lot during last few weeks but unless the authority settled their differences it will be hard to look for a correct direction.



Coming week


EURO is still moving in the range of 1.40-1.44 range, unless it negates the pattern I will not change my view about EURO’s up movement in future.
After so much quick fall I was expecting AUD to rise a bit but it was very flat this week. In the low side it has a support at around 0.98 and on the upside it has resistance at 1.04.
Swiss FRANC showed some volatile movement, FRANC breaks it’s minor support at 0.765 and went close to the level of 0.72, but it was unable to break the support of 0.80 level. Unless FRANC breaks this 0.80 and then 0.84 level, I am not very bullish about it’s rise from here.
USD is moving around 73.5-75 level, unless it breaks 76 level it stays with in the bearish pattern and it has still a chance to drop from this level.
YEN’s movement was very disappointing this week as it lost all it rise in last week. I don’t  know but I have a feeling unless it breaks 76.5 level it may again rise to test 79 level.
Brazilian REAL rose to test 1.64 level as I was expecting last week but here it may again test 1.58-1.56 level in the downside. I am not sure but it looks like that REAL may be making a pattern for further rise in future.

Currency market is facing some storm because up to few days ago investors were taking shelter under Japanese YEN and Swiss FRANC but since respective countries took steps to protect their economy, things are getting very hard in currency market. So where these investments will go ?   
Most of the European and US currencies have their limitations, so what I think investors are going to take shelter on those currencies whose economies are better than these problematic areas. So future destinations may be Australia or couple of north European currencies ! 


( Rise and drop in currency under heading  COMING WEEK means rise & drop in chart figures, not currency’s rise & drop, though for some currencies both are same in meaning. )



NOTE :  Please see the disclaimer below this blog .


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