Indian rupee opened firm at 61.69 and then made an intraday high of 61.65 against the US dollar...
Indian rupee opened firm at 61.69 and then made an intraday high of 61.65 against the US dollar due to firm Asian currencies and firm Asian equity market sentiment.
However, month end dollar from corporates, global dollar strength and covering of short dollar position led rupee to pare all of its gains and make a intraday low of 61.9675. It closed at 61.9350 weaker by 0.28%.
Technically 61.60/62 which is a very critical resistance level for rupee held today and it had reversed sharply from there.
As far 61.60/62 holds we can expect rupee to weaken further towards 62.20/30 levels in the near term.
By Hemal Doshi, Geojit Comtrade Ltd.