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Sensex: 32467.1 +64.70 Gold: Rs.29633.00
Nifty: 10161 +13.50 Silver: Rs.40075.00
Sell USDINR: RSI is indicating weak momentum - IndiaNotes.com
Sell USDINR: RSI is indicating weak momentum
Way2wealth | Published: 29 Aug, 2017  | Source : IndiaNotes.com

Technical View:

 

USDINR: In the last week USDINR pair opened at 64.36 and from there it rose till the high of 64.42 but it failed to hold and turned lower to finally close near the week’s low of 64.25.


- Pair is witnessing stiff resistance around 64.46 levels where is saw rectangular break down and on lower side as per the 50% retracement support is at 62.90 mark.


- Going forward, we expect USDINR pair to trade lower and tumble till the next supports of 63.70 then 63.00. Therefore, we recommend selling around 64.30 for targets of 63.70 then 63.20 for the week.


- The momentum indicator RSI which dipped sharply from 37 to 34 is also indicating weak momentum.


Action: Sell.

    

EURINR: In the last week, EURINR September contract remained in very narrow range and ended with minor gains at 75.87 forming Doji candle stick formation.


- The pair is moving along with the rising trend channel and in the last week it almost tested support line. On the other hand, it has convincingly settled above the breakout trend line.


- Going forward, immediate support of the rising trend line is at 75.30, and we expect pair to head till the next resistance of 76.70 then 77.60 levels. On the contrary a convincing break down below 75.30 will only provide clear break down.


- For the week, we expect the EURINR to remain firm and recommend buying on dips around 75.75 for the targets of 76.70 then 77.60


Action: Buy.

 

GBPINR: For the fourth straight week, GBPINR pair trade on bearish note and ended at 82.48 losing 0.84%.


- In the previous week, the pair breaching the key trend line support has shifted the medium-term outlook to bearish. According to the retracement the next immediate support is seen at 82.20, break below that will provide further fall till 81.80 then 81.40 levels.


- The momentum indicator RSI witnessing continuous fall till 43 on weekly basis indicating weak momentum.


- However, for the week, the pair is likely to take supports around 82.20 levels and may show minor pull backs till 83.00 levels and, we advise selling on rise as the overall trend still looks downward.


Action: Sell

 

JPYINR: After last two weeks of massive gains JPYINR September contract traded on a lower note during last week and settled at 58.77.


- The pair has failed to surpass the immediate high resistance of 59.44 and turned lower. Now according, the trend line the support is at 58.55 and as long as the holds above that the upside potential remains intact. Break down below 58.50 will provide a correction till 58.00 then 57.80.


- The momentum indicator RSI has dipped slightly lower till 50 on weekly basis and while the MACD is still on positive note.


- For the week, we expect pair could correct till the supports of 58.70 levels and will rebound from the same towards the resistance of 59.40 then 59.90. Thus, we recommend buying on dips around 58.70 with strict stop loss at 58.35


Action: Buy.

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Disclaimer: The author has taken due care and caution to compile and analyse the data. The opinions expressed above are only the views of the author, and not a recommendation to buy or sell. Neither the author nor IndiaNotes.com accept any liability whatsoever arising from the use of any of the above contents.