Currency Report 7th March 2018
The rupee yesterday ended stronger against the US dollar to a fresh one-week high of 64.96, surging by 16 paise on account of selling of the greenback by exporters. Investors took some encouragement with credit ratings agency, Crisil’s latest report that India’s gross domestic product (GDP) growth will improve sharply to 7.5% in the next fiscal year 2018-19 (FY19) from 6.5% expected this fiscal, propelled by domestic consumption, policy push, and synchronized global growth. Sentiments also got some boost with a private report estimating that the Goods and Services Tax collection for 2018-19 would grow at a rate of 14-16%, bringing it closer to the decadal growth rate in indirect taxes of just under 14%.
Overall sentiments improved globally helped by easing fears of a potential global trade war on Trump's tariffs after top Republicans criticized the plan.
Support at 64.90 and Resistance at 65.20
Below 64.90 panic likely to continue till 64.70—64.55 else could touch its resistance level of 65.20
Fresh buying can be initiated above 65.20
Trade with levels only.
Support at 90.10 and Resistance at 90.50
Above 90.50 rally likely to continue till 90.70—90.80 else could touch its support level of 90.10
Fresh selling can be initiated below 90.10
Support at 80.70 and Resistance at 80.90
Above 80.90 rally likely to continue till 81.10—81.30 else could touch its support level of 80.70
Fresh selling can be initiated below 80.70
Support at 61.50 and Resistance at 61.70
Above 61.70 rally likely to continue till 61.90—62.00 else could touch its support level of 61.20
Fresh selling can be initiated below 61.50