USDINR opened at 68.92 y’day and the pair traded in the 68.72-68.96 range. Spot USDINR closed at 68.73 y’day, loss of 18 ps for USD as against prior close of 68.91. RBI reference rate was fixed at 69.06 on Friday. Aug USD/INR closed at 68.93, loss of 19ps for USD as compared to prior day’s close of 69.12. Aug Euro/INR closed at 76.82, GBP/INR at 85.01 and Yen/INR at 63.56.
FII’S have nett sold Rs 13813 Cr of Indian Equities in July . FII’S have nett bought Rs 65000 Cr of Indian Equities in this calendar Year till date. FII’S have nett bought Rs 8758 Cr of Indian debt securities in July. FII’S have nett bought Rs 19124 Cr of Indian debt in this calendar year till date.
Benchmark Nifty declined 0.84% y’day. DOW climbed 51 points(0.19%) on Friday. Nikkei declined 0.19% y’day and Hang seng declined 1.03% y’day.
Euro is now at 1.1127 ,Pound at 1.2379,Yen at 108.68.
Commodities: Gold is now at USD 1418 and WT1Crude at USD 56/Brent at USD 63.20.
Interest rates: USD 10 Yr yield is at 2.08% and 3 m libor closed at 2.26%. Indian 10 yr benchmark yield closed at 6.41%.
Economic news: Indian Equity markets continued to reel under pressure as FM dashed hopes of relaxation on taxes impacting FPI inflows. Pound continued to decline as new Govt stepped up rhetoric on Brexit deal . UK Foreign Minister said that UK is turbo charging its preparations to leave EU without a deal. Focus is on US Fed meeting.
Data highlights : – No major data release
Tuesday’s calendar: – US Personal income. spending and pending home sales data.
| USD/INR | 68.96 | 68.72 | |
| EUR/USD | 1.1127 | 1.1152 | 1.1112 |
| GBP/USD | 1.2379 | 1.2465 | 1.2376 |
| USD/JPY | 108.68 | 108.83 | 108.56 |
Daily Support/Resistance table
| CurrencyPairs | Pivot | R1 | R2 | R3 | S1 | S2 | S3 |
| EURO/USD | 1.1130 | 1.1148 | 1.1170 | 1.1108 | 1.0090 | ||
| GBP/USD | 1.2406 | 1.2437 | 1.2495 | 1.2347 | 1.2317 | ||
| USD/JPY | 108.69
|
108.82 | 108.96 | 108.55 | 108.42 |
|
|
| USD/INR | 68.80 | 68.88 | 69.04 | 68.64 | 68.56 |
|
MAJOR SUPPORTS/RESISTANCES AND TREND TABLE
| Curency Pair | Supports | Resistances | Trend | Remarks |
| EURO/USD | 1.1110 | 1.1190/1.1280/1.1425 | DN | SIDE>1.1280 |
| GBP/USD | 1.2135/1.20 | 1.2580 | DN | SIDE>1.26 |
| USD/JPY | 106.80 | 109/110 | DN | UP>110.50 |
| USD/INR | 68.30 | 69.10 | DN | UP>70 |
| USD/CHF | 0.98 | 0.9950 | SIDE | UP >0.9950 |
Technicals: Spot closed below major moving averages. 20 day moving average is at 68.72. 50 day moving average is at 69.20.200 day moving average is at 70.50. Daily MACD is in buy zone, implying bottom at 68.30. Next support is at 68.30. Important resistance is at 69.10 and later at 69.35 .Spot closed below its average level of the day.
Intra day supports and resistances for Aug contract are:
PP: 69.01,S1:68.84, S2:68.75, R1:69.10, R2:69.27
Hedging strategy for USD/INR: Hedging decisions be taken according to comfort and accounting rates.
CROSS CURRENCY TECHNICALS:
EURO/USD: The pair is below major moving averages. Next Major resistance is at 1.1415. Major support is at 1.1110. Daily MACD is in sell zone, implying an important top at 1.1415. Weekly MACD is in sell zone, implying important top at 1.1415.
GBP/USD: The pair is bearish and is trading below major moving averages.Daily MACD is in sell zone, implying important top at 1.2580 and weekly MACD is in sell zone, implying important top at 1.3385. Important resistance is at 1.26 and later at 1.2785. Important support is at 1.2130 and later at 1.20.
USD/YEN: The pair is below major moving averages. Daily MACD is in buy zone, implying important bottom at 107. Next important resistance is at 109 and later at 110.50. Important support is at 106.80 and later at 104.50.
