Weekly forex market news

Page 1

WWW.TRIFIDRESEARCH.COM M

W

R EE E K L Y P O R T

04 JULY – 08 JULY 2016

Buy on fear, sell on greed.

Buy on the rumor, sell on the news.

The trend is your friend.

Amateurs want to be right.

Professionals want to make money.


MARKET OUTLOOK

MARKET EVENTS  Rupee gains 20 paise to end at 1-1/2 week high against dollar.  Japan's May retail sales fall more than expected on gloomy recovery outlook.  China's yuan slips, poised for 1 pct monthly fall as c.bank stands aside.  Swiss retail trade turnover falls by 2.3%. CURRENCIES

USDINR

PREVIOUS

CURRENT

RATE

RATE

67.9800

67.6050

Indian Rupee washed off the Brexit concerns so seen in the previous week rather extended the gains for three consecutive sessions and the currency reached to 1-1/2 week high on continuous demand of dollar by Banks and exporters over strong equity markets. The Nikkei Manufacturing Purchasing Managers' Index (PMI) rose to 51.7 in June from May's 50.7, its sixth month above the 50 mark that separates growth from contraction after it fell below that level in December for the first time in more than two years. Successive gains in domestic markets too supported the dollar selling on hopes of more foreign fund inflows.

KEY RATES As on 01/07/2016 % CHANGE REFERENCE RATE (USD)

67.4410

REPO RATE

6.50%

-0.55%

EURINR

75.2675

75.1975

-0.09%

REVERSE REPO

6.00%

GBPINR

93.1775

90.0200

-3.38%

CRR

4%

JPYINR

66.4275

65.8600

-0.85%

INFLATION

0.79%


USDINR

USDINR last week washed off the gains so made in the previous week and gained successively during the entire week to close on lower side. If it continues to fall then 100 day EMA i.e. 67.2000 is seen as next major support whereas any closing above the immediate resistance of 68.0000 can mark the way for bulls.

EURINR

EURINR last week remained in a particular range after the major breakdown so seen in the previous week due to Brexit and finally settle on a flat note with negative bias. Any closing below 74.7000 can result in selling pressure for the counter whereas 75.6000-76.0000 may act as immediate resistance range.


PIVOT TABLE CURRENCIES

S1

S2

S3

R1

R2

R3

USDINR

67.3000

67.0000

66.6000

68.0000

68.3000

68.7000

EURINR

74.7000

74.3000

73.7000

75.6000

76.0000

76.4000

GBPINR

89.6000

89.2000

88.8000

90.7000

91.6000

92.3000

JPYINR

65.5000

64.9000

64.0000

66.4000

67.2000

68.0000

INTERNATIONAL UPDATES  UK Manufacturing PMI at five-month high in June.  US Gross Domestic Product increased at an annual rate of 1.1% in the first quarter of 2016.  US Unemployment Insurance Weekly Claims was 268,000, an increase of 10,000 from the previous week.

COUNTRY

EVENT

BLOOMBERG ESTIMATE

PREVIOUS LEVEL

06-JULY-16

07:30 PM

US

ISM Manufacturing PMI

53.5

52.9

06-JULY-16

11:30 PM

US

FOMC Meeting Minutes

-

-

US

Unemployment Claims

272k

268k

US

Unemployment Rate

4.8%

4.7%

DATE

TIME

6:00 07-JULY-16 PM 6:00 08-JULY-16 PM


DISCLAIMER

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