Buy USDINR; target of 74.20 - 74.30: ICICI Direct

ICICI Direct's currency report on USDINR

Spot Currency

Last week the rupee depreciated marginally and managed to stay near 74 levels. However, looking at the fall in the Dollar index and positive FII’s inflow, downsides should be limited • The Dollar index fell below 92 levels as the EUR and GBP moved higher. Risk on sentiments is likely to keep weighing on the dollar.

Currency futures on NSE

US$INR December future continued to trade above 74 levels after consolidating. A fall in Dollar index would provide cushion to the pair whereas OTM Call writing indicates possible consolidation near 74 • The dollar-rupee December contract on the NSE was at 74.20 in the last session. The open interest rose 18.1% for the December series contract.

Intra-day strategy 

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.