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Last Updated : Aug 09, 2018 11:32 AM IST | Source: Moneycontrol.com

Sell USDINR; target of 68.50 - 68.40: ICICI Direct

ICICI Direct expect the USD INR to meet supply pressure at higher levels. Utilise upsides in the pair to initiate short positions

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ICICI Direct's currency report on USDINR

Spot Currency

The rupee extended gains as a recovery in the Euro undermined USD strength. Today, it is expected to open on a higher note amid overnight dollar losses and a decline in crude oil prices The US D ended slightly lower against major currencies as rising risks of escalation in trade war weighed. The US administration has announced imposition of tariffs on D 16 billion of Chinese imports from August 23, 2018. China also announced retaliation with tariffs on similar amount of US imports. JPY rose sharply tracking a recent rise in JGB yields as well as safe haven demand

Benchmark yield

Sovereign bonds rose as yields declined even as traders remain cautious in the backdrop of rising global yields as well as simmering concerns over escalation in global trade rift US sovereign 10 - year bond yields declined mildly tracking trade war development. Also, lower - than - expected US July jobs data weighed on yields

Currency futures on NSE

The dollar - rupee August contract on the NSE was at 68. 80 in the previous session. August contract open interest declined 1. 02 % in the previous day We expect the USD INR to meet supply pressure at higher levels. Utilise upsides in the pair to initiate short positions

USDINR Strategy
USDINR August futures contract (NSE
Sell USDINR in the range of 68.68-68.74 Market Lot: USD1000
Target: 68.50 / 68.40 Stop Loss: 68.86
Support Resistance
S1/ S2: 68.60 / 68.45 R1/R2:68.80 /68.95

 

 

 

 

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First Published on Aug 9, 2018 11:32 am
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