USDINR: Buy around 65.13 for upside targets of 66.12 | Outlook on currencies | Investment Idea |


Last week, USDINR futures started on a strong note by  opening  higher  with  gap and  prices rose  further for three  consecutive  sessions till  high  of  65.13. Later   in   the   last session   of   the   week,   prices  corrected sharply and settled around 64.73.

Prices  have  been  rising  gradually  since  last  one  month  after  making  a  2.5  years  bottom  at  63.38  level.

Prices have broken out from its short term declining  trend  line  resistance  in  the  last  week and closed just around the same on weekly basis.

Prices are  expected  to  recover  further  from  these  levels if  break  above  its  last  week’s  high  of  65.13  level towards next  strong  resistance  placed  around its previous swing high of 66.12 level. On  the  lower  side,  immediate  strong  supports  are  placed around 64.65 and 63.87 levels.

Action: Buy.


EUR INR  futures  opened  lower in  the  last  week  and  prices corrected gradually for the whole week till low of 79.56. Price  have  been moving  in  a  medium  term  rising  trend  channel  pattern  since  last  three  years  and  is facing strong  resistance  at  its upper  rising  trend  line since last few weeks.

Prices  are  expected  to  correct  further  from  these levels   towards   immediate   strong   support   placed  around its short term rising trend line coinciding with 23.6%  Fibonacci  retracement  of  its  rally  from  low  of 68. 21 till high of 80.59, which is placed around 77.67 level.

On the higher side, immediate strong resistances are placed around 80.00 and 80.60 levels. Selling below  79.50  level  is  recommended  in  EURINR  for the short term trading opportunities.

Action: Sell.

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