ICICI Direct expects the USDINR to meet supply pressure at higher levels. Utilise upsides in the pair to initiate short positions.
ICICI Direct's currency report on USDINRSpot Currency
The rupee fell in the previous session as traders remained cautious ahead of the truncated holiday week as well as concerns over rising crude oil prices • The US $ remained almost unchanged even as US equities dived sharply on the back of renewed trade concerns as well as profit booking in technology stocks led by Amazon . Traders await upcoming monetary policy decision as well as cues on whether current trade tariff actions by US and China get converted into full - fledged trade wars.Benchmark yield
Sovereign bond yields rose as investors booked profits from sharp gains in the previous session. However, yields may remain elevated amid concerns on inflation growth as well as global yield trends • US 10 - year yields declined to 2.73 % as investors remained concerned on current trade interventions that could affect inflation as well as growth if it escalates to a full blown trade war.Currency futures on NSE The near - month dollar - rupee April contract on the NSE was at 65. 36. The April contract open interest increased 29. 40 % from the previous day • We expect the US$INR to find supports at lower levels. Utilise downsides in the pair to go long in US$INR.
|US$INR April futures contract (NSE)||View: Bullish on US$INR|
|Buy US$INR in the range of 65.24 - 65.30||Market Lot: US$1000|
|Target: 65.50 / 65.55||Stop Loss: 65.12|
|S1/ S2: 65.30 / 65.15||R1/R2:65.45 /65.55|