Currency Report 05th March 2018
Indian rupee ended tad higher against dollar on Thursday, owing to dollar sale by exporters and banks. Traders took some support with report that the Indian economy grew at five-quarter high of 7.2% in the October-December period of the fiscal year 2017-18 (FY18), as against 6.5% in the previous quarter and 6.8% in the same period last year, on the back of a sharp pickup in the services sector, a rebound in industrial activity, especially manufacturing and construction, and an expansion in agriculture. However, gains were limited as some anxiety came with India reporting a fiscal deficit of Rs 6.77 trillion ($103.72 billion) for April-January or 113.7% of the target originally set for the fiscal year that ends in March. Besides, dollar’s strength against major global currencies overseas along with late hour selloff in the domestic equity markets, weighed on the rupee sentiment.
On the global front, dollar hit a six-week high on Thursday, supported by what was perceived as an upbeat tone from new Federal Reserve chief Jerome Powell on the US economy, bolstering bets that interest rates will be hiked four times this year in the United States.
Support at 65.20 and Resistance at 65.50
Break and sustain below 65.20 will take it to 64.90---64.60 mark else could touch its resistance level of 65.50.
Fresh buying can be initiate above 65.50
Support at 89.80 and Resistance at 90.10
Break and sustain below 89.80 will take it to 89.50—89.20 mark else could touch its resistance level of 90.10 again
Fresh buying can be initiated above 90.10
Hurdle at 80.60. Break and sustain above 80.60 will take it to 80.90—81.20 mark else could touch its support level of 80.00 again
Fresh selling can be initiated below 80.00
Hurdle at 62.00, Above 62.00 rally remain continue till 62.30—62.50++ mark else could touch its support level of 61.70
Fresh selling can be initiated below 61.70