Rupee - Oct 22, 2020 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee appreciated for the first time in 4 sessions against the Greenback, as the dollar selling by exporters and speculators outweighed the impact of weak risk appetite in the region.

The Rupee ended at 73.53 to a dollar compared with 73.58 in the previous session. In initial trades, the currency had weakened to 73.78.

Risk sentiment in the region waned after stalemate continued over the additional coronavirus aid package.

The dollar index advanced amid the risk-off tone and Asian currencies weakened and kept gains limited for the domestic unit.

The one-year forward premium was at 3.03 rupees, against 3.06 rupees in the previous session.

Technically, USDINR Spot opened on a slightly negative note at 73.67 levels and made a high of 73.80, low of 73.51 and gave a close at 73.53 levels.

USDINR Spot yesterday managed to break through 21-DMA which is placed at 73.43 levels, but it has retreated from 73.80 levels as it did not hold onto a 50-DMA which is placed at 73.66 levels indicating a sideways momentum in coming sessions.

Resistance is 73.65-73.80 levels & Support is at 73.40-73.25 levels. USDINR Spot is expected to trade in a range of 72.35-73.63 levels.

USDINR October futures on NSE is trading down by Rs.0.10 paisa at Rs.73.665 this Thursday afternoon trade.

Source : Equity Bulls

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