ICICI Direct, The US dollar decline for a second consecutive day on Friday amid a retreat in US treasury yields.
October 04, 2021 / 08:31 AM IST
ICICI Direct’s currency report on USDINR
The US dollar decline for a second consecutive day on Friday amid a retreat in US treasury yields. However, a sharp downside was cushioned on improved economic data from the US and rise in demand for safe haven • Rupee future maturing on October 27 appreciated by 0.28% in Friday’s trading session on weakness in dollar and as manufacturing PMI data showed activity in sector improved. However, sharp gains were prevented on FII outflows and risk aversion in domestic market • The rupee is expected to appreciate on weakness in dollar, rise in risk appetite in global markets. Further, upbeat macroeconomic data will continue to support the rupee. Manufacturing PMI data showed activity in sector expanded for three consecutive months. However, sharp gains may be prevented as investors will stay cautious ahead of Opec+ meeting.
Intra-day strategy
| USDINR October futures contract (NSE) | |
| Sell USDINR in the range of 74.35-74.38 | |
| Target: 74.05 | Stop Loss: 74.50 |
| Support: 74.15/74.05 | Resistance: 74.50/74.55 |
Disclaimer:
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