ICICIdirect expects the US dollar to meet supply pressure at higher levels. ''Utilise upsides in the pair to go short on the USDINR pair. March futures in the range of 66.55-66.65 with target 66.75-66.65.''
The rupee rose to a four-month high against the US currency, as higher US dollar sales by banks outweighed broad strength in the Dollar index on hopes of a Federal Reserve rate hike this week. The US dollar pared gains from the recent highs post US February employment data even on higher-than-expected payrolls data.
US February non farm payrolls data was at 235000 payrolls beating the estimates. However, hourly wage growth data was slightly a drag at 0.2%. US FOMC interest rate announcement would further set cues in forex markets.
In the currency futures market, the most traded dollar-rupee March contract on the NSE ended at 66.73. The March contract open interest rose 0.50 from the previous day. April contract open interest rose 3.77% from the previous day.
Disclaimer: IRIS has taken due care and caution in compilation of data for its web site. Information has been obtained by IRIS from sources which it considers reliable. However, IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website.