Rupee
Technical Report
Current Spot Quote: 61.50
View: Bearish (On rupee)
Target: 66.50
Time-frame: By Feb 2015
Strategy:
Create longs between 61-61.50 with a Stop loss of 57.8 for 66.50(Spot
levels)
Rational
Currency
Chart
As can be seen from the Charts USD-INR has
a Strong support placed at 60.50 levels with other crucial trend line support
placed at 61/61.2 levels. Just on a Standalone basis by looking at the charts,
we feel USD-INR Pair would have probably bottomed and any dips could be used an
opportunity to buy .
Inter-market
Analysis
Over a period of time emphasis in the
Technical world has shifted from Single Market work to a more intermarket
approach. In an increasingly interrelated financial world, the ability to study
all markets gives Technical Analysts a huge advantage. No markets move in
isolation and analysis of one market should include all the others. The four
major groups are stocks, bonds, commodities and currencies, of which, Dollar
and commodities trend in opposite directions. We believe falling commodities
especially Gold and Crude will continue to have positive effect on USD.
Gold has recently given a breakdown from
Descending triangle continuation pattern and could further fall to lower
levels. Given this context, it is likely that Dollar will strengthen further
across other global currencies.