Mtechtips MCX-SX USDINR INTRADAY trading analysis 07-09-2016
MTECHTIPS Dollar/rupee ended near four-month low Tuesday tracking FII inflows into local stocks and the dollar index traded down during early Asian trade Wednesday as US reported disappointing ISM non-manufacturing data closely on heel of disappointing non-farm payroll data last week and thereby decreasing the already slim chances of an interest rate hike by the Federal Reserve in this month.The greenback fell after the release of a weak US non-manufacturing sector USDINR witnessed its biggest intraday fall since 1 March 2016, and settled at 66.7350. As per the bearish view given since 23 August from 67.25-67.30 was successful with USDINR drop towards 66.70 levels. On the EOD chart a breakdown of short term consolidation is yet indicating for bearishness in days to come, but pair would need to break below 66.65 its immediate support in order to test 66.30-66.15. Stop loss 66.85.