The Rupee climbed to a two-week high on optimism Indian lawmakers will be able to implement a national sales tax, with inflows into local assets picking up as global central banks boost stimulus. Sovereign bonds rose the most since Feb. 29 as PM Narendra Modi’s cabinet met a key opposition demand on proposed legislation that would clear the way for the goods-and-services tax, or GST, the nation’s most ambitious economic reform since the 1990s.
Overseas, the UK manufacturing sector started the third quarter on a weaker footing.
- Dollar crawls up after worst week in three months.
- Eurozone manufacturing growth lower at start of third quarter.
- UK PMI falls to lowest level since early 2013 at start of third quarter.
- French manufacturing sector continues to contract in July.
USDINR opened gap down and remained on lower side for the whole session and closed in red territory.
It underwent sharp fall after breaching the important support of 67.3000 on daily charts and still looks weak if sustains below 67.0000.
EURINR sustained higher but did not move with high momentum and finally closed on a flat note.
It resisted near 100 day EMA as seen on daily charts and 75.0000 is acting as strict resistance for the pair while 74.5000 may now act as important support.
GBPINR extended its weak trend after moving sideways in previous week and finally closed in red terrain.
Further bearishness can move the counter towards the key support of 87.8000 whereas 89.0000 will again act as important resistance.
JPYINR was able to sustain on higher side after it surged in the previous session and finally settled on a strong note.
If it continues the bulls in the coming sessions then 66.0000 will act as important resistance while 64.7000 is seen as immediate support for the pair.
(Click to submit your details) Just one step to get best trading tips and Recommendation.