1. Brazilian Real
The currency was down by 13 percent over the last year against the US dollar and currently trades at 2.3501 reals. The Brazilian real has shown volatility in recent sessions while the market awaits the US Federal Reserve’s decision on whether to renew its $85 billion per month bond purchasing programme. The Brazilian real, after failing to break through the key level of the real at 2.30 per dollar, slid 1.2 percent against the US currency.
Technically, the Brazilian real looks to be in a weak trend. The real has a strong support at 2.2919. Any break below this will take the currency towards 2.2632 against the dollar. However, if the currency consistently sustains above 2.2919, there is room for further upside towards 2.3-2.45 levels.
(This story appears in the 10 January, 2014 issue of Forbes India. To visit our Archives, click here.)