Rupee strengthens against the US dollar on Wednesday
Indian rupee strengthened against US dollar on Wednesday, as Reserve Bank of India (RBI) used a less hawkish tone and reduced the Statutory Liquidity Ratio (SLR) in its second bi-monthly monetary policy for financial year 2017-18. The central bank left repo and reverse repo rates unchanged at 6.25% and 6%, respectively and lowered its inflation estimates for the current financial year. Sentiments also got some support after the Met Department upgraded the South-West monsoon forecast to 98% of the long-term average rainfall from 96% earlier. Rainfall during the June-September monsoon season is expected to be normal, with a high possibility of all four broad geographical regions receiving evenly distributed rains. Moreover, positive momentum in the domestic equities and continuous foreign capital inflows too supported the rupee. On the global front, dollar jumped against the euro following reports that the European Central Bank is preparing to cut its inflation forecast.
USDINR (June)
Support at 64.55---64.30 and resistance at 64.80.
Either side break or close with volume will decide further.
GBP-INR
Support at 83.10 and Resistance at 83.60
Above 83.60 rally remain continue till 83.75—83.90 and then to 84.10++ mark in days to come else could touch its support level of 83.10 mark.
Fresh selling can be initiated below 83.10.
EURINR
Support at 72.50 and Hurdle at 72.80
Trading in range either side break or close with volume will decide further.
JPYINR
Below 58.80 panic remain continue till 58.60—58.45 and then to 58.10 mark, else could touch its resistance level of 59.10 again.
Fresh buying can be initiated above 59.10 mark.
More will update soon!!
