Rupee - Oct 20, 2020 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee depreciated against the U.S. Dollar on aggressive dollar-buying by state-run banks, likely on behalf of the central bank, to offset the impact of foreign inflows.

The Rupee ended at 73.46 compared with 73.37 in the previous session.

However, the currency still remained range bound ahead of the deadline of the additional U.S. Stimulus and the U.S. Presidential elections.

The one-year forward premium was at 3.02 rupees, against 2.98 rupees in the previous session.

The U.S. Dollar Index was flat to marginally weaker this Tuesday afternoon, while most of the Asian currencies were marginally stronger.

Technically, USDINR Spot opened on a slightly positive note at 73.42 levels and made a high of 73.54, low of 73.34 and gave a close at 73.46.

USDINR Spot recovered its early losses where it has bounced back near 73.35 levels and managed to reach near 21-DMA which is placed at 73.53 levels above which could see a bullish Reversal up to 73.76 levels in coming sessions. Support holds at 73.35-73.20 levels.

USDINR Spot is expected to trade in a range of 72.30-73.75 levels.

USDINR October futures on NSE is trading up by Rs.0.13 paisa at Rs.73.505 from last session.

Source : Equity Bulls

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