USDINR spot has resistance at 54.45: IIFL

IIFL has come out with its technical and fundamental view on currencies. According to the research firm, USDINR spot prices have support at 54.05 and resistance at 54.45.

Fundamental View

USD-INR

Dollar/rupee opened at near two-week high Wednesday on risk aversion after lawmakers in Cyprus rejected the tax proposal on bank deposits amid political uncertainty after the DM pulled out its support from the government

Dollar/rupee fell in morning trades Wednesday on foreign banks selling amid overseas inflows as Securities and Exchange Board of India auctions debt limit for foreign investors later today

Dollar/rupee fluctuated in afternoon trades Wednesday as demand for the greenback is offset by gains in euro ahead of US Federal Reserve's monetary policy review

Cross-currencies

Europe's financial markets opened Wednesday with few signs of a flight from riskier assets to those perceived as safe havens. That's despite the vote in the Cypriot parliament against a levy on bank deposits and ahead of two key announcements: the U.K. Budget and the decision of the Federal Open Market Committee on U.S. monetary policy.

The euro zone's current account surplus narrowed slightly in January, after reaching a record high in December, as the bloc's trade surplus fell

Bank of England officials held fire on fresh stimulus for the U.K. economy in March because of concerns that more bond purchases could drive down sterling and undermine public perceptions of the central bank's commitment to fighting inflation.

Technical View

USD-INR SPOT RATE: Prices have support at 54.05 and resistance at 54.45

NSE USD-INR FUTURE: Prices have support at 54.10 and resistance at 54.57

EUR-USD (1.2952): Prices have support at 1.2850 and resistance at 1.3050.

US Dollar Index (82.74): Prices have support at 82.40 and resistance level at 83.80.

INR Currency Future view

EUR-INR (Close: 70.42): Prices have support at 70.10 and resistance at 70.90.

GBP-INR (Close: 82.18): Prices have support at 81.95 and resistance at 82.70.

JPY-INR (Close: 56.70): Prices have support at 56.30 and resistance at 57.80.

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