- Indian rupee is expected to open another fresh record low against the US dollar vs. 53.89 of yesterday as overseas risk selling added fuel to domestic concern. Meanwhile, Indian shares is likely to extend its losses in line with regional equities coupled with rise in global dollar further dampened the sentiments for rupee on capital outflow concern.
- The pound stayed higher against the euro after a report showed jobless claims rose at a slower pace than predicted in November.
- USD INR: 53.92- Pair is in strong uptrend. Ascending triangle chart pattern is visible on 15 minutes chart. Any correction in the counter should be used to initiate long positions.
- EUR INR: 70.22- Pair is respecting valid uptrend line on hourly chart. Any retest of the same could be used to take long positions.
- GBP INR: 83.32- Pair has completed the double bottom chart pattern and neckline is pegged at 82 levels. Any correction or retest of neckline should be used to initiate a long position for upside target of 84.5 levels.
- The US dollar is expected to attract some buying on declines against the INR. Utilize the lows in the USD/INR December contract to buy above 53.90 with target of 54.08/54.16 and a stop loss of 53.82.
- In the currency futures market, the most traded near-month dollar-rupee contract on the NSE closed at 53.92. The USD/INR December open interest was down by 0.8%. The January contract witnessed an increase in open interest by 21.3%.
