USDINR opened at 69.70 Y’day and the pair traded in the 69.70-69.99 range. Spot USDINR closed at 69.83, gain of 15 ps for USD as against prior close of 69.68. RBI reference rate was fixed at 69.61 on Tuesday. June USD/INR closed at 70.06, gain of 18 ps for USD as compared to prior day’s close of 69.88. June Euro/INR closed at 78.36, GBP/INR at 88.71 and Yen/INR at 64.19.
FII’S have nett sold Rs 1135 Cr of Indian Equities in May till date. FII’S have nett bought Rs 66925 Cr of Indian Equities in this calendar Year till date. FII’S have sold Rs 1552 Cr of Indian debt securities in May. FII’S have nett sold Rs 2662 Cr of Indian debt in this calendar year till date.
Benchmark Nifty declined 0.57% Y’day. DOW declined 221 points (0.87%) y’day. Nikkei declined 1.21% and Hang seng declined 0.57 % y’day.
Euro is now at 1.1139 ,Pound at 1.2630,Yen at 109.61.
Commodities: Gold is now at USD 1276 and WT1Crude at USD 59.14/Brent at USD 68.04.
Interest rates: USD 10 Yr yield is at 2.236% and 3 m libor closed at 2.61%. Indian 10 yr benchmark yield closed at 7.13%.
Economic news: Indian GDP data awaited later today. Risk aversion stayed as China threatened to squeeze supply of rare earth minerals to US. ECB warned in the Financial Stability review that “uncertainty about global economic growth prospects has contributed to bouts of high volatility in financial markets”. And, “weaker than expected growth and a possible escalation of trade tensions could trigger further falls in asset prices”.
Data highlights : – No major data release.
Thursday’s calendar: – US weekly jobless claims, pending home sales and GDP(preliminary)
| USD/INR | 69.99 | 69.70 | |
| EUR/USD | 1.1139 | 1.1173 | 1.1124 |
| GBP/USD | 1.2630 | 1.2672 | 1.2613 |
| USD/JPY | 109.61 | 109.69 | 109.15 |
Daily Support/Resistance table
| CurrencyPairs | Pivot | R1 | R2 | R3 | S1 | S2 | S3 |
| EURO/USD | 1.1145 | 1.1166 | 1.1194 | 1.1215 | 1.1117 | 1.1096 | 1.1068 |
| GBP/USD | 1.2638 | 1.2663 | 1.2697 | 1.2723 | 1.2604 | 1.2579 | 1.2545 |
| USD/JPY | 109.47
|
109.79 | 110.01 | 110.33
|
109.25 | 108.93 | 108.70
|
| USD/INR | 69.84 | 69.98 | 70.13 | 69.69 | 69.55 |
|
MAJOR SUPPORTS/RESISTANCES AND TREND TABLE
| Curency Pair | Supports | Resistances | Trend | Remarks |
| EURO/USD | 1.1110/1.0970/1.0840 | 1.1265/1.1325 | DN | UP>1.1325 |
| GBP/USD | 1.2480 | 1.2770/1.2865/1.3175 | DN | UP>1.30 |
| USD/JPY | 108.50/107.50 | 110.70/112.40 | DN | UP>110.85 |
| USD/INR | 69.35/69.20 | 70.52/70.80 | UP | DN<69.35 |
| USD/CHF | 0.9950 | 1.0125 | SIDE | UP >1.0125 |
Technicals: Spot closed between major moving averages. 20 day moving average is at 69.83. 50 day moving average is at 69.47.200 day moving average is at 70.80. Daily MACD is in sell zone, implying top at 70.54. Important support zone is at 69.35.Important resistance is at 70.50 and later at 70.80 .Spot closed at its average level of the day.
Intra day supports and resistances for June contract are:
PP: 70.05,S1:69.88, S2:69.71, R1:70.22, R2:70.39.
Hedging strategy for USD/INR: Hedging decisions be taken according to comfort and accounting rates.
CROSS CURRENCY TECHNICALS:
EURO/USD: The pair is below all major moving averages. Next Major resistance is at 1.1265. Major support is at 1.1110 and later at 1.0970. Daily MACD is in sell zone, implying an important top at 1.1265. Weekly MACD is in sell zone, implying important top at 1.1570.
GBP/USD: The pair has turned bearish and is trading below major moving averages.Daily MACD is in sell zone, implying important top at 1.3175 and weekly MACD is in sell zone, implying important top at 1.3385. Important resistance is at 1.2775 and later at 1.2865. Important support is at 1.2480.
USD/YEN: The pair is below major moving averages. Daily MACD is in sell zone, implying important top at 112.40. Next important resistance is at 110.70 and later at 112.40. Important support is at 108.50 and later at 107.75.
