Welcome, Guest
Contact us  |   Careers  |  Open an Account  |  Site Map  |   Login    
Research
 
28 Oct 2009
The Indian rupee should drop to new three-week lows on Tuesday

 

USDINR                                                                CMP: 47.10

 

The Indian rupee should drop to new three-week lows on Tuesday as lower regional stocks raise concerns of a drop in the domestic share market which could prompt foreign investors to withdraw some investments. The partially convertible rupee tracked domestic shares to end weaker at 46.88/90 per dollar on Tuesday from a previous close of 46.645/655.

 

Recommendation

 

Buy in the range of 46.90-46.80 stop loss below 46.60 Target 47.30-47.60

 

USDJPY                                                               CMP: 91.30

 

The dollar rose to a fresh five-week high against the yen before losing some of its gains in Asia on Tuesday, as long-term U.S. interest rates remained on an uptrend and a downturn in share prices raised demand for the safe-haven U.S. currency. With the gap between U.S. and Japanese interest rate being one significant mover of currencies, market participants are focused on a series of U.S. government debt auctions this week totaling $123 billion in value, including a sale of $44 billion two-year notes later Tuesday

 

Recommendation

 

Sell in the range of 91.60-91.70 stop loss above 92.30 Target 91.00-90.60

 

EURUSD                                                             CMP: 1.4810

 

The euro fell to fresh session lows versus the dollar on Tuesday, after data showed U.S. consumer confidence worsened in October. The Conference Board's U.S. consumer confidence index fell to 47.7. The euro dropped to session lows at $1.4806 from $1.4848 before the data. It was last at $1.4812, down 0.3 percent. Investors have used the euro as a proxy for risk appetite, selling the currency when economic data is negative

 

Recommendation

 

Sell in the range of 1.4850-1.4860 stop loss above 1.4910 Target 1.4750-1.4710

 

GBPUSD                                                            CMP: 1.6340

 

Sterling rose against the euro on Tuesday but wiped out earlier gains against the dollar, after surprisingly weak U.S. consumer confidence data pulled investors toward the liquidity and perceived safety of the U.S. currency. The dollar's sharp rebound meant sterling/dollar, or "cable", fell more than a cent from levels reached earlier in the day, a rise in part fuelled by stronger than expected UK retail sales figures. That took cable back below the technical support level of the 100-day moving average around $1.6360, while the euro's fall back toward $1.48 ensured the pound retained its earlier strength against the euro zone currency.

 

Recommendation

 

Sell in the range of 1.6370-1.6390 stop loss above 1.6460 Target 1.6260-1.6200

Click here to download full report

Reliance Money Disclaimer

Company Search

New Trading Platforms

  Insta Plus
  View Insta Plus Demo

Copyright©2010. All rights Reserved.
Equities: Equities transactions executed by Reliance Securities Limited | NSE SEBI Registration Number Capital Market :- INB 231234833 |BSE SEBI Registration Number Capital Market :- INB 011234839 | NSE SEBI Registration Number Derivatives :- INF 231234833 | Mutual Funds : Reliance Securities Limited | AMFI ARN No.29889
In case of any grievances/complaints please write to us at: grievance@rsec.co.in
This site is best viewed in 1024x768 and higher resolution.