See rupee at 44.50/$ before March contract ends: Religare

In an interview with CNBC-TV18, Jayant Manglik, president of Religare Commodities gave his reading and outlook for the curreny market.

Speaking about the dollar rupee trading strategy he said,"We would sell dollar rupee at 45.20 with a target of 44.50 and stop loss at 45.60."

He expects rupee to touch the 45.50 mark before the expiry of the March contract.

Below is the verbatim transcript of Manglik's interview with Latha Venkatesh of CNBC-TV18. Also watch the accompanyning video.

Q: What have you made of the dollar strength, it does not seem to impact the Indian dollar rupee exchange rate much? How would you trade currency futures market?

A: We have seen the rupee in good stead now with the budget providing positive sentiment for the equity markets as well as the currency. But, there are some downsides as well, potentially and largely, the crude.

If you are importing about 800 million barrel a year then, it leads to an additional expense. We have already seen USD 30 increase which translates to USD 24 billion a year which is about 100,000 crore.

This additional expense looks at weaker rupee, inflation and rising current deficit. Largely, if you look at the more immediate future, I would say that we would go on sell on the dollar rupee because that