Update Daily Investment News

Daily Forex Technicals | Written by FXtechtrade
EUR/USD
Today's support: - 1.4403(main), where correction is possible. Break would give 1.4371, where correction also may be. Then follows 1.4358. Break of the latter would result in 1.4300. If a strong impulse, we would see 1.4288. Continuation will give 1.4257.Today's resistance: - 1.4466 and 1.4493(main). Break would give 1.4518, where a correction is possible. Then goes 1.4538. Break of the latter would result in 1.4553. If a strong impulse, we'd see 1.4580. Continuation will give 1.4612.
USD/JPY
Today's support: - 90.78 and 90.57(main). Break would bring 90.23, where correction is possible. Then 90.00, where a correction may also happen. Break of the latter will give 89.78. If a strong impulse, we would see 89.55. Continuation would give 89.40 and 89.13.Today's resistance: - 91.37, 91.64 and 91.86(main), where a correction may happen. Break would bring 92.13, where also a correction may be. Then 92.46. If a strong impulse, we would see 92.70. Continuation will give 92.94 and 93.37.
DOW JONES INDEX
Today's support: - 10648.14 and 10620.00(main), where a delay and correction may happen. Break of the latter will give 10600.31, where correction also can be. Then follows 10583.25. Be there a strong impulse, we would see 10563.80. Continuation will bring 10545.86 and 10515.70.Today's resistance: - 10731.20 and 10754.65(main), where a delay and correction may happen. Break would bring 10776.09, where a correction may happen. Then follows 10797.88, where a delay and correction could also be. Be there a strong impulse, we'd see 10816.64. Continuation would bring 10859.06 and 10882.96.
Daily Forex Technicals | Written by India Forex
EURUSD : EURUSD has weakened and is currently trading at 1.4405 levels. It has an
AUDUSD :AUDUSD is consistently trading above 21 Days daily EMA and is currently trading at 0.9266 levels. Immediate resistance near 0.9410 levels (double top formation) where cautious shorts can be initiate for the target of 100-150 pips. (AUDUSD - 0.9268) Short term Bearish
Gold :GOLD is currently trading at $1138 levels. Initiate buy near $1120 levels for a target of 30 dollars. Do not go short on gold since it seems quite bullish. Buying on downside levels is recommended. (Gold-$1138) Bullish.
Dollar Index: Dollar Index is having an immediate support near 76.70 - 76.80 levels. Dollar Index is in consolidation mode as of now till it maintains the support of 76.50- 76.60 levels and resistance of 77.80 levels. (DI -77.05). Neutral.

Oil Is Poised to Fall to the Low $70s: Technical Analysis
By Mark Shenk
Jan. 14 (Bloomberg) -- Crude oil prices are poised to decline to the low $70s a barrel as the futures enter a bearish trend, according to technical analysis by Barclays Capital.Oil for March delivery on the New York Mercantile Exchange is probably heading for support near its 200-day average of $73.15 a barrel, MacNeil Curry, a Barclays analyst, said in a report. Futures ended 10 consecutive days of gains on Jan 6. The failure to extend increases has set up the conditions for a correction, Curry said.

Strengthening U.S. Recovery May Intensify Fed Debate on Exit
(Bloomberg) -- Federal Reserve officials are more confident the U.S. economy is moving toward self-sustaining growth, giving urgency to discussions about the tactics and timing of an exit from record-low interest rates. Kansas City Fed Bank President Thomas Hoenig said Jan. 11 the central bank should end purchases of mortgage-backed securities because the market is “healing.” Philadelphia Fed Bank President Charles Plosser said the next day that the recovery is “sustainable even as the fiscal and monetary stimulus programs eventually wind down.”

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aDWlxYGoEGDA

20%-30% Correction — Then Rally to Dow 15,000: Strategist
By: JeeYeon Park CNBC News Associate
The Dow Jones Industrial Average is currently trading near 10,700, but Jeff Hirsch, editor at Stock Traders Almanac told investors that the index could reach 15,000 by 2011. He shared his insights. “It’s based upon the average move from the mid-term low to the pre-[Senate] election high of about 50 percent,” Hirsch told CNBC. He expects there will be a pullback at some point in the Dow of 20 to 30 percent, which would create a buying opportunity before a 50 percent rally.

http://www.cnbc.com/id/34865032

Stocks May Suffer ‘Severe Correction’ This Year, Zulauf Says
(Bloomberg) -- Stocks may suffer a “severe correction” this year as a recovery in global economic growth fades, according to Felix Zulauf, owner and founder of Swiss fund manager Zulauf Asset Management AG. “The snap back in the stock market will probably peak this spring and then we go into a correction into the fall,” Zulauf, born in 1950, said in an interview in Oslo today after speaking at a conference organized by Skagen Funds. “It could be a severe correction, it could be 20 percent to 25 percent.” Economies are recovering after governments around the world committed trillions of dollars on measures to revive growth after worst the recession since World War II. The rebound may be fragile with unemployment rising in Europe and expected to average 10 percent in the U.S., according to economic surveys.

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=asAiwCctxgqo

IMF says U.S. Dollar will remain as global reserve currency
The International Monetary Fund stated on Wednesday that the United States Dollar will remain as the global reserve currency despite rumors that the Euro or the Chinese Yuan will take its place. In summer of 2009, speculations ran rapid that the Euro or the Chinese Yuan will take the place of the US Dollar as the global reserve currency but Managing Director of the International Monetary Fund Dominique Strauss-Kahn told the Hong Kong Trade Development Council on Wednesday that the US Dollar will remain as the global currency, according to AFP. Strauss-Kahn also urged China to increase the value of its currency because many critics have said they are artificially lowering the the value.“The US currency is going to remain the main currency in my opinion for a long period of time, even if it's challenged by some others. Our view is not one of a double-dip. It doesn't mean the probability is zero or that it cannot happen, but it's not our preferred scenario and I don't believe that will be the case.”However, he did add that the pace of the economic recovery has been rather sluggish.
Strauss-Kahn expects the Asian nations to play a big part in the global financial recovery because he feels that once you have Asian nations become a big player then there is more of a responsibility to make sure "the whole system is working.”
The Managing Director of the IMF, reports Press TV, is due to make an important speech at the Asian Financial Forum next week.

US economist Feldstein: 2010 double dip is big risk
* Another recession in 2010 is "significant risk"-Feldstein
* US govt needs to establish confidence about fiscal deficit
* US bond yields to rise further, but curve to stay steep
BEIJING, Jan 14 (Reuters) - The U.S. economy faces a "significant risk" of another recession in 2010, unless the Obama administration promotes confidence it can manage a growing fiscal deficit, a prominent Harvard University economist said on Thursday.
Without public approval, namely from investors, U.S. bond yields will climb, taxes will rise and a fragile recovery will be short lived, Martin Feldstein told Reuters in an interview. "I don't think the Obama administration is doing anything to reduce that risk. They are assuming the momentum is there," said Feldstein, who is also president-emeritus of the National Bureau of Economic Research, the arbiter of when U.S. recessions begin and end.

Sovereign Funds May Become Active Investors, State Street Says
(Bloomberg) -- Sovereign wealth funds may begin to take more active roles in the companies in which they invest after the global financial crisis, according to Street State Corp., the world’s biggest money manager for institutions. “It’s an item on their agenda,” said John Nugee, the London-based managing director of the official institutions group at State Street Global Advisors, in a phone interview. “It’s fairly clear that people are saying that ownership carries responsibilities and that shareholders should seek to exercise control over executive management.”
The 37 biggest sovereign wealth funds are worth a total of $3 trillion, or an average of $85 billion each, Boston-based State Street said in an e-mailed report. About 70 percent of the funds’ wealth is based on oil or gas, according to the company.