Rupee - April 16, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee appreciated on Friday against the U.S. Dollar tracking softening yields and firm risk appetite in the region.

RBI's intervention also aided the local unit.

The Rupee ended at 74.35 compared with 74.92 in the previous session. It strengthened by 0.8% this Friday and 0.5% this week.

The one-year forward premium was at 3.55 rupees, against 3.51 rupees in the previous session.

Technically, the USDINR Spot ended on negative note holding resistances near 74.50 and 74.70 levels. However, if the pair trades below 74.30 levels on Monday we could see a downside move up to 74.00 levels.

RBI will release its weekly FX reserves aftermarket hours.

The Dollar index was trading weaker this Friday afternoon trade in Asia and was heading to a second consecutive weekly loss amid a retreat in Treasury yields and dovish stance by the U.S. Fed.

Technically, the Dollar Index major pivotal support is at $91.40 and a close below will pull the index to $90.75. Otherwise, we could an uptrend towards $91.90 levels.

Meanwhile, the markets could look to cues from the building permits and housing starts tonight.

Source : Equity Bulls

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