IGI Logo

USDINR

The Dollar index in the early Asian hours of trading, traded with a slight negative bias, but mid day the King Dollar witnessed bidding, and the Dollar index moved and managed to sustain above the 102.00 mark. The USDINR after a long weekend opened on a slightly negative note and printed a low of 81.83.

The Mid day buying in the Dollar pushed the USDINR pair higher towards the 82.05 zone. The pair continues to be placed below the major moving averages, the RSI plotted on the daily chart can be seen forming a bullish hinge near the overbought level, indicating presence of bullish momentum in the pair. Technically, we see a resistance placed near the 82.20 zone, provided the pair manages to sustain above the 82.00 handle. On the downside the immediate support is placed near the 81.70 level.

EURINR

This week we have the EcB policy decision, looking at the recent data releases the general expectation is for the central bank to raise the rates by 25 BPS. the major focus is on the growth differential, between the US and the Euro Area.

The price action in the EURUSD pair suggests rejection near the 1.10 zone. This translated into the EURINR pair facing rejection near the 90.50 zone.

On Tuesday the EURINR pair was very volatile and was all over the place. In the early hours of trading the Euro saw some bidding and the EURINR printed a high of 90.23. After the CPI release, which showed increase in the inflation, the pair was hammered and pushed below the 90.00 zone

The price action suggests that the 90.50 zone could act as a major hurdle, so in the sessions to come we might see this level act as a resistance

On the downside the support is placed near the 89.50 level, if this level is breached on the downside we might see further sell off in the pair which could take it lower towards the 89.00 zone

JPYINR

The Yen did not seem to recover from the aftermath of the BoJ policy, to add to its problems, the US bond yields, both the short and the long end heading higher too added to its problems. The USDJPY pair rallied towards the highest point in the about 2 months

The JPYINR pair opened significantly lower, compared to the Friday’s close. The pair opened below a psychological level of 60.00, and marked a low of

The RSI plotted on the daily chart can be seen moving lower towards the oversold level, indicating presence of bearish momentum in the pair.

The price action suggests that the pair could face rejection near the 60.50 zone. On the downside the 59.70- 59.50 is the level we will keep a close watch as a support.

GBPINR

This week the economic calendar of UK is light, so the Pound is expected to follow the change in the market mood and the direction in the Dollar.

The GBPUSD failed to breach and sustain above the 1.26 zone, and re entered the trading zone between 1.23 and 1.25.

The GBPINR pair attempted to move higher, but faced major rejection near the 102.50 zone, and moved lower towards the 102.00 zone

The RSI plotted on the daily chart can be seen flattening, indicating exhaustion of momentum in the pair.

Technically, the GBPINR is consolidating, on the downside we might see the pair find support near the 101.70 zone and on the upside the resistance is placed near the 102.50

In the sessions to come we expect the GBPINR pair to find support near the 20 Day EMA.

On the upside we might see the pair find resistance near the 102.50 zone, if the pair manages to break and sustain above the 102.50 zone we might see further up move towards 102.80-103.00 zone

To Read Complete Report & Disclaimer Click Here

For More Axis Securities Disclaimer  https://simplehai.axisdirect.in/disclaimer-home

SEBI Registration number is INZ000161633

Views express by all participants are for information & academic purpose only. Kindly read disclaimer before referring below views. Click Here For Disclaimer