ICICI Direct, The pound depreciated by 0.18% yesterday mainly on the back of firm dollar and risk aversion in domestic market.
January 18, 2022 / 09:17 AM IST
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ICICI Direct’s currency report on GBPINR
The pound depreciated by 0.18% yesterday mainly on the back of firm dollar and risk aversion in domestic market. Further, investors fear a leadership crisis after UK Prime Minister Boris Johnson was blamed for ignoring lockdown rules. However, a sharp fall was cushioned on growing expectations that Bank of England will raise interest rates as early as next month. Further, recent economic data showed that the British economy is rebounding strongly from the pandemic • The pound is expected to trade with a negative bias amid firm dollar and weaker risk appetite in financial markets. Further, UK Prime Minister Boris Johnson is facing serious crisis of his leadership after he was accused of ignoring Covid-19 lockdown rules. However, sharp fall may be cushioned on expectation of strong job data from Britain and on anticipation that Bank of England will raise rates as early as next month despite a surge in Coronavirus cases.
Intra-day strategy
| GBPINR January futures contract (NSE) | |
| Sell GBPINR in the range of 101.65-101.67 | |
| Target: 101.40 | Stop Loss: 101.80 |
| Support: 101.50/101.40 | Resistance: 101.80/101.90 |
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