USD INR - heading toward Rs 46 ????

The NIFTY today broke above the crucial resistance being indicated for some time of 3080 and 3120. Presumably , it is a good sign and one should see some more action on the charts.

Generally the USD INR goes in the opposite direction of the Indices (though this inverse relation may not be on a daily basis) . Hence we may expect that the USD will weaken - the Rupee would appreciate.



The chart suggests that there is strong resistance at Rs 49.20 levels which may be treated as the stoploss for any short sell positions. Also a break and close below Rs 48/- should give a target near to Rs 46 which is the 50% retracement level. ( The USD INR has already tested the 38.20 retracement earlier)

We shall keep tracking this in days to come.

Happy Trading

CA Rajiv D Khatlawala
Head of Research & Training
Jhaveri Securities Ltd.