USDINR opened at 73.42 Y’day and the pair traded in the 73.04-73.56 range. Spot USDINR closed at 73.32 , gain of 10 ps for USD as against prior close of 73.22. RBI reference rate was fixed at 73.28 y’day. March USD/INR closed at 73.53, gain of 6 ps for USD as compared to prior day’s close of 73.47. March Euro/INR closed at 82.11, GBP/INR at 94.83 and Yen/INR at 68.65.
FII’S nett bought Rs 1819 Cr of Indian Equities in Feb till date . FII’S have nett bought Rs 2096 Cr of Indian debt securities in Feb till date.
Benchmark Nifty climbed 0.16% y’day. DOW climbed 1173 points (4.53%) Y’day. Nikkei climbed 1.09% and Hang seng climbed 2.08% y’day.
Euro is now at 1.1141,Pound at 1.2865,Yen at 107.33.
Commodities: Gold is now at USD 1640 and WT1Crude at USD 47.50/Brent at USD 51.90.
Interest rates: USD 10 Yr yield is at 1.013% and 3 m libor closed at 1.31%. Indian 10 yr benchmark yield closed at 6.23%.
Economic news: IMF said that global growth in 2020 will “dip below” 2.9% for 2019. That is, at least 0.4% worse than 3.3% growth projection for 2020 as estimated in January. IMF announced a USD 50B aid package for low-income and emerging market countries, to help combat the impact of the Wuhan coronavirus global outbreak. OPEC has decided to cut Oil production by another 1.5 mbpd to stabilise prices.
Data highlights : – US weekly jobless claims was reported at 216k and factory orders.
Friday’s calendar:- US nonfarm payrolls and unemployment rate
-German factory orders.
Daily Support/Resistance table
MAJOR SUPPORTS/RESISTANCES AND TREND TABLE
Technicals: Spot closed above 200 day moving average. 20 day moving average is at 71.73. 50 day moving average is at 71.46.200 day moving average is at 70.70. Daily MACD is in buy zone, implying bottom at 70.73. Important support is at 72.90/72.40 and next important resistance is at 74. Spot closed below its average level of the day.
Intra day supports and resistances for March contract are:
PP: 73.52,S1:73.26, S2:73, R1:73.78, R2:74.04
Hedging strategy for USD/INR: Hedging decisions be taken according to comfort and accounting rates.
CROSS CURRENCY TECHNICALS:
EURO/USD: The pair is between major moving averages. Next Major resistance is at 1.11. Major support is at 1.09 and later at 1.0775. Daily MACD is in buy zone, implying an important bottom at 1.0775. Weekly MACD is in sell zone, implying important top at 1.1240.
GBP/USD: The pair has turned sideways but still above major moving average.Daily MACD is in sell zone, implying important top at 1.3070 and weekly MACD is in sell zone, implying important top at 1.3515. Important resistance is at 1.3070. Important support is at 1.27.
USD/YEN: The pair is below major moving averages. Daily MACD is in sell zone, implying important top at 112.20. Next important resistance is at 112.40. Important support is at 107.65/106.50.