The Benchmark index witnessed a Sharp Gap Down Opening on 19/12/24 after US FED cut interest rate overnight and projected just 50 bps more rate cut next year, lower than full percentage point expected few month ago makes dollar index climb towards fresh 2-year high and US Bond yield at highest since May month makes sharp sell off in bullion through out the day and which all resulted in index close near days low and well below over previous day close.

Now, Index has Resistance at 18600-900-19100, as long hold, more Downside expected towards 18200-17850-650/upto 17100-17000 in short term. Other side only Sustain above 19100-19500 seen again 20100-20200 in days to come.

Price is trading below short term 13-days SMA and RSI at 38 mark with Downward slope indicates more room for down side in the counter. Other side below zero line MACD seen pressure at every rally.

Metal Index

The Benchmark index seen a Sharp Gap Down Opening on 19/12/24 and remain on lolwer side through out the day as rally in dollar index towards 2-year high and elevated US Bond yield added by weaker than expected economic data from Chinas as well Euro zone pressure base metals pack and which all resulted in index close near days low and well below over previous day closing.

Now index has a Resistance at 17450-650-850-18050, as long hold, more Downside expected towards 17250-17000 upto 16750 in medium term. While on higher side only sustain above 18050 seen 18300-18500 again in days to come.

Price is trading below short term 13 SMA while RSI at 39-marks with Downward slope indicates more room for Down side in the counter. Other side slight below zero line MACD indicates more selling pressure at every rally in the counter.

Technical Levels

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Forex

Key Headlines

The Indian rupee spot against the US dollar end 4th straight day at life time closing low to fall below 85 mark first time ever on Thursday, after US FED cut interest rate by 25 bps but scaling back of its rate cut projections for next year by 50 bps from 100 bps projected 3-months ago pressure Asian peers added by dollar index climb towards fresh 2-year high and widening trade deficit of India, sell off in equity turn into outflow pressure domestic currency. However, likely RBI intervention at lower level support rupee from sharp fall.

The rupee at NSE Future 27 Dec. ended down by 17 paise at 85.18 against previous close of 85.01 and after make low of 85.10 and high of 85.75. Central banks across emerging market countries scrambled to defend their struggling currencies as the Korean won dropped to its weakest level in 15 years, while the Indonesian rupiah hit a four-month low.

The dollar index has risen over 3% since the Nov. 5 election. Measures from the U.S. President-elect -- including tariffs and tax cuts -- should put upward pressure on inflation and bond yields while limiting the Fed's scope to ease policy and supporting the greenback. Despite the pressures, the rupee has fared better than most of its regional peers since then, on the back of routine interventions by the Reserve Bank of India. The local unit is down 0.9%, while its peers have weakened between 1.8% and 4.4%.

For India, between now and the next rate meeting in February, the new Governor's views on liquidity, currency management and macro-prudential measures will be watched closely.

The dollar on Thursday edged back from a two-year peak hit the prior session after the Federal Reserve signaled a much slower pace of rate cuts in 2025, while the yen slid after the Bank of Japan stood pat on rates. Currencies around the world tumbled on Wednesday after the Fed decision sent yields higher and boosted the dollar, although many rebounded on Thursday in choppy trading conditions with thin volumes ahead of the holiday period.

The pullback in the dollar subsided after the final read on U.S. third quarter GDP showed the economy grew at a 3.3% annual rate, stronger growth than the prior reading of 3.0% and economists' average forecasts of 3.1%. The number validated the Federal Reserve's cautious new take-it-slow approach to easing, as did a bigger-than-expected fall in the number of applications for unemployment insurance to 220,000 last week.

The dollar index was last down 0.23% after jumping more than 1% on Wednesday to 108.25, its highest level since November 2022. The dollar rose 1.51% against the yen to 157.13, trading at its highest levels since July. The euro , which tumbled 1.34% on Wednesday, managed to claw back some losses and was last 0.48% higher at $1.0402. Sterling dipped after the announcement and was last up 0.16% at $1.2593 , having climbed as much as 0.7% earlier in the day after shedding 1.1% in the previous session. China's onshore yuan finished the domestic session at 7.2992 per dollar, the weakest close since November 2023.

The week has been chockablock with the last central bank policy meetings of 2024. The BOJ kept interest rates steady as expected, but the yen fell sharply as Governor Kazuo Ueda gave little away in a post-meeting press conference.

The Bank of England held interest rates at 4.75% as expected on Thursday, but the pound fell after three policymakers voted for a cut, surprising investors who had expected only one official to opt for a reduction.

The kiwi dropped to a two-year low before also ticking up. Data on Thursday showed that New Zealand's economy sank into a recession in the third quarter.

The Swedish and Norwegian crowns both rebounded against the dollar on Thursday, after Sweden cut rates but Norway held them steady.

U.S. rate futures price in a more than 90% chance that the Fed will hold rates at its January meeting

Bitcoin retreated from recent highs. The world's largest cryptocurrency fell 2.06% to $104,227.

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