Rupee Wrap - Jan 21, 2022 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

The Indian Rupee appreciated marginally this Friday lifted by stronger crude oil prices and stronger Asian and EM peers on Friday.

The Rupee ended at 74.42 vs a close 74.50 close in the previous session.

However, for the week the Rupee was weak as U.S. Treasury yields and the dollar index jumped on worries over the likely pace of rate increases by the Federal Reserve.

The unit fell 0.4% this week, after gaining by about 2.5% in the last four weeks.

At the same time, a combination of corporate dollar inflows, overseas bond issuances and profit booking by speculators capped the rupee's fall below 74.70 this week.

Technically, USDINR Spot pair is taking a resistance at 100-Daily Moving Average at 74.65 levels and below the level, it could witness a downside momentum up to 74.25-74.12 levels. Resistance zone is at 74.50-74.62 levels.

The USDINR Spot pair could trade in a range of 74.20-74.60 levels in the coming session.

The U.S. Dollar is trading marginally weaker this early Friday evening in European trade tracking the weakness of the U.S. Treasury yields.

Technically, if Dollar Index trades above $95.50 level, it will continue its positive momentum. Resistance is at $95.83-$96.00 levels. Support zone is at $95.44-$95.10 levels.

Source : Equity Bulls

Keywords

Rupee CurrencyUpdate INR RelianceSecurities