On technical charts, USD-INR October futures has given an upward break of descending channel and right now trading with rising channel indicating short term uptrend.
The Indian rupee opened 24 paise higher at 71.14 per dollar on October 22 against the previous close at 70.90, supported by softer global crude oil prices.
Global oil prices were near flat as the market fretted about the health of the global economy and the future for energy demand, reported Reuters.
As per HDFC Securities, spot USD-INR is having support in the range of 70.70 to 70.50, while resistance is around 72.
"USD-INR October options distribution is indicating resistance between 72-72.50 - the levels where call writing was seen - and support at 70.50. USD-INR is expected to continue its downward spree following month-end dollar demand and central banks dollar buying," said HDFC Securities.
On technical charts, USD-INR October futures has given upward break of descending channel and right now trading with rising channel indicating short term uptrend.
"Relative Strength Index has been hovering around 50-odd levels indicating consolidating. Short-covering bounce can be seen from 70.70 odd level," HDFC Securities said.
The Indian rupee ended marginal higher at 71.15 per dollar on October 18, while the domestic equity market ended higher for the sixth consecutive session.On the weekly basis, the Indian currency marked the third weekly loss. Rupee, at this juncture, underperforms Asian peers amid weak domestic macro environment and foreign fund outflow.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.