Yesterday rupee appreciated by 0.16 percent as dollar index strengthened by 0.43 percent due to fresh selling of dollar by banks and exporters. However, Rupee depreciated by nearly 2.5 percent in the past few days on account of strong outflows by FII from the Indian debt and equity markets. They have sold around $1.8 billion in the past one week. Overall sentiment for the Indian currency deteriorated further following spikes in crude oil prices coupled with impending FED rate hikes.
The US treasury yields have been touching a peak of 2.968 percent the highest since Jan’14. Also, the US China trade tensions also appear to diminish as US treasury Secretary Steven Munchin may travel to China to talk about future bilateral trade between the two nations. Existing home sales for Mar’18 came in at 5.6 million against market expectations of 5.55 million. Consumer confidence index from US came in at 128.7 for Apr’18 against market expectations of 126. Core durable goods orders for Mar’18 came in at 0% against market expectations of 0.5%.
USDINR is expected to move sideways in today’s session.
USDINR opened on flat note and traded sideways for the day. On the daily chart, pair has been rising form last couple of days; where price has moved above its prior resistance of 66.10 level. In addition, price has given rising channel formation breakout and retained above it; which intimate bullish sentiments in the pair. Furthermore, a momentum indicator RSI (14) has settled above its overbought zone; which shows optimistic bias for near term. On the above technical studies & parameter, we expect bullish move in the prices towards 67.50 level.
EURUSD depreciated by 0.48 percent while EURINR appreciated by 0.53 percent during the same time frame.
ECB olds interest rates and reaffirms ultra-easy monetary policy. amid softening of the growth outlook in the region. German business climate came in at 102.1 for Apr’18 against market expectations of 102.7. ECB will be conducting their monetary policy meet today. Spanish unemployment rate for Mar’18 came in at 16.7% against market expectations of 16.3%.
EURINR is expected to appreciate in today’s session.
GBP depreciated against the US dollar by 0.11 percent while GBPINR appreciated by 0.24 percent.
Average earnings came in at 2.8% for Mar’18 against market expectations of 3%. UK CPI for Mar’18 came in at 2.5% against market expectations of 2.7%. Public sector net borrowing for UK came in at -0.3 billion against market expectations of 1.1 billion.
GBPINR is expected to move sideways in today’s session.
GBPINR noted correction on account of profit booking on Thursday session. On a weekly chart, GBPINR has taken a resistance at rising trend line and retreated from there; which intimate reversal move in the pair. Moreover, a momentum indicator RSI (14) turned negative from its overbought zone; which indicate bearish sentiments. A lagging indicator MACD has intimated negative crossover on weekly chart.
As per the above technical structure, we are expecting bearish movement in prices towards 93 level.
JPYINR fell down for the day and ended the session below its previous close. On the daily chart, JPYINR has found the resistance of upper Bollinger band and slipped lower as well as pair has also retreated form 21 days DEMA; which indicate further correction in the prices. Moreover, a momentum indicator RSI and MACD has turned back to downside with negative crossover.
So based on the above technical structure and indicator, we are expecting bearish movement in JPYINR towards 61 levels.AFTER POST CONTENT
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