Technical Analysis

Buy rupee with stop-loss at 75.9

Akhil Nallamuthu, BL Research Bureau | Updated on March 26, 2020 Published on March 26, 2020

Today, the rupee (INR) has opened with a gain against the dollar (USD), at 75.88 versus 76.1 – its previous close. The local currency has been gaining since the session open and has rallied above the key resistance at 75.7. This opens the door for further strengthening.

On Tuesday, the rupee had gained 0.25 per cent and ended the session at 76.1 after marking an intraday high of 75.93 versus the greenback. So far this calendar year, the rupee has declined about 5.7 per cent. The Foreign Portfolio Investments (FPI) were net sellers on Tuesday even as the market traded with a positive bias yesterday. The net outflow of FPIs yesterday were at ₹1,893 crore.

Dollar index:

The dollar index corrected further yesterday, and it has slipped below the support at 101. If the correction continues, it can drop to the important level of 100. Below that level, 99.4 can act as a support. A softening dollar demand can be favourable for the local currency.

Trade strategy:

The rupee has inched above the resistance at 75.7 and so it will most likely trade with bullish bias for intraday. Traders can buy the rupee on declines with stop-loss at 75.9

Supports: 75.7 and 75.9

Resistances: 75.3 and 75

Published on March 26, 2020

A letter from the Editor

Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.