The Indian rupee depreciated slightly against the US dollar while other currencies like the British pound and Japanese yen appreciated against the dollar; the US Federal Reserve kept interest rates unchanged and hinted at a possible rate hike in December. Economic data from countries like the UK showed a surplus in public sector borrowing in August.

1. Currency Highlights
22nd
Sep’2016
HighLights:
 Indian Rupee depreciated by 1 paise to 67.02 on Wednesday
 US Federal Reserve unchanged at 0.5 percent in September meeting
 UK’s Public Sector Net Borrowing at surplus of 10.1 bn Pounds in
Aug
 Japanese banks closed today on the eve of Autumnal Equinox Day
US dollar on Wednesday. The currency depreciated as investors were cautious
ahead of the US Federal Reserve meeting on Wednesday night.
Further, dollar demand from importers and banks kept pressure on the curren-
cy. Additionally, weak domestic market sentiments along with outflow of for-
eign funds continued with negative movement in the currency. Foreign funds
sold shares worth Rs. 1,146.93 crore on Tuesday, as per provisional data from
exchanges.
Indian Rupee moved in the range of 66.98 to 67.1450 in Wednesday’s trading
session. The Reserve Bank of India (RBI) fixed reference rate for the dollar was
seen at 67.0631 and Euro stood at 74.6949 as on 21st
September, 2016.
In cross-currency trades, the rupee remained firm against the pound sterling to end at 86.79 as compared to 86.84 and rebounded against
the euro and closed at 74.67 from 74.88 on Tuesday. It, however, continued to drift against the Japanese yen and concluded at 66.12 from
65.76 per 100 yens earlier.
US Dollar Index declined around 0.5 percent in Wednesday’s trading session after Federal Reserve kept its key interest rates unchanged in
yesterday’s meeting and hinted towards hike in interest rates in December probably. Further, downside in the currency was witnessed due
to rise in risk appetite which led to decline in demand for the low yielding currency.
US Federal Reserve kept Federal Funds Rate unchanged at 0.5 percent in September meeting.
Euro against dollar jumped around 0.3 percent on Wednesday on account of weakness in the dollar index. Further, upbeat global market
sentiments led to upside in the currency.
However, estimates of unfavourable economic data from the region capped sharp gains in the currency.
The Sterling Pound rose around 0.3 percent in Wednesday’s trade as a result of weakness in the dollar index. Further, upbeat global market
sentiments continued with upside movement in the currency. Additionally, favourable economic data from the country kept the currency
in positive territory.
UK’s Public Sector Net Borrowing was at a surplus of 10.1 billion Pounds in August as against a deficit of 2.4 billion Pounds in July.
The Japanese Yen against dollar appreciated by more than 1 percent in Wednesday’s trading session due to Bank of Japan announcing addi-
tional stimulus and keeping the interest rates low and in negative territory. However, sharp upside in the currency was capped due to rise
in risk appetite in global market sentiments which led to decline in demand for the low yielding currency.
SEBI Certified – Research Analyst Equities I Commodities I Currencies I Mutual Funds
Last PrevCl. PriceChng PriceChng%
USDollarIndex 95.46 95.44 0.02 0.02
USD/INR(Spot) 67.02 67.01 0.01 0.01
USD/INR(NseSep) 67.08 67.11 (0.03) (0.04)
EUR/INR(Spot) 74.67 74.90 (0.23) (0.31)
EUR/INR(NseSep) 74.79 75.06 (0.27) (0.36)
GBP/INR(Spot) 87.06 86.86 0.20 0.23
GBP/INR(NseSep) 87.21 87.07 0.14 0.16
JPY/INR(NseSep) 66.17 65.83 0.34 0.51
MarketHighlights

2. Technical View:
On daily chart JPYINR pair opened the day at 65.96,
made a high of 66.48, low of 65.39, and closed the day at
66.17, thus it closed the day with gain of 0.52 point.
On daily chart JPYINR has been facing strong resistance
at 66 levels which is alos upper band of symmetrical
pattern. There is unfiled gap which is place at 66.01level
it act as resistance now. Pair is trading above all moving
averages it show that near, medium & long term trend
is bullish. On daily chart pair has paying with 50 DMA
with volume.
On daily chart momentum indicator RSI reading is at 52
levels which is also strong horizontal support now its
point out for positive breath in the pair.
So for trading perspective, one could use Buy in range
level of 66.10 to 65.90 with SL of 65 for Target of 66.85 -
67
Pivot levels for the Day
Technical View:
On daily USDINR pair opened the day at 67.07, made a
high of 67.23, low of 67.06, and closed the day at 67.08,
thus it closed the day with a gain of 0.01 point. Pair has
given bearish breakout of head and shoulder. Pattern
will fail if price will goes above 67.49
On daily chart pair has consolidating in rage of 67.23 to
66.90 and other hand pair has been trading below all
medium term, and long term moving average 50, 100
and 200 which place at 67.12, 67.19 and 67.23 it suggest
medium, & long term trend is bearish Whereas on pair
has taking resistance at 200, 100,50 DAM.
A Daily momentum indicator RSI reading is at 51 levels
with positive crossover, besides RSI reading is near to its
trend line and horizontal resistance.
So for trading perspective, one could sell in range 67.10-
67.20 with SL of 67.50 for target of 66.30-66.10
Currency Highlights
22nd
Sep’2016
USDINR JPYINR
SEBI Certified – Research Analyst Equities I Commodities I Currencies I Mutual Funds
S3 S2 S1 Pivot R1 R2 R3
USDINR 66.78 66.95 67.02 67.12 67.19 67.29 67.46
JPYINR 63.83 64.92 65.55 66.01 66.64 67.10 68.19

3. Pivot levels for the Day
Currency Highlights
22nd
Sep’2016
GBPINR EURINR
Technical View:
On daily chart EURINR pair opened the day at 74.85,
made a high of 74.9, low of 74.75, and closed the day at
74.79, thus it closed the day with a loss of 0.27 point.
On weekly chart pair have formed bullish engulfing
pattern. This pattern failed if price goes below 74.48.
Price has have been trading in descending triangle
pattern now pair has taking support at 74.50 which is
200 DMA as well lower band of descending triangle.
Now price has given closed below 20 & 100DMA.
Many more price is trading above all moving averages
which suggest all time frame trend is negative.
On daily chart momentum oscillator RSI have been trad-
ing at 51 with positive cross over which suggest some
positive breath in the pair.
For now we can expect prices should move to towards
75.60- 75.80 levels in the coming trading session. How-
ever price is trading above 74.50
Technical View:
On daily after gap down opening GBPINR pair opened
the day at 87.09, made a high of 87.31, low of 87.01,
and closed the day at 87.21, thus it closed the day with
a gain of 0.16 point.
The price has been trading in following channel for-
mation from past weeks and prices have been facing
support of its lower band of channel at 86.06 to
86.25range. Pair is trading in range of 89 to 86.20
A momentum indicator MADC has given bullish Cross
over with positive note on daily chart, many more direc-
tional indicator RSI reading at 34 levels with negative
cross over with positive divergences which suggest
some accumulation at lower level.
For now we expect prices should move high towards
90.80 levels coming trading sessions. However price is
trading above 86.
SEBI Certified – Research Analyst Equities I Commodities I Currencies I Mutual Funds
S3 S2 S1 Pivot R1 R2 R3
GBPINR 86.58 86.88 87.04 87.18 87.34 87.48 87.78
EURINR 74.51 74.66 74.73 74.81 74.88 74.96 75.11

4. Currency Highlights
SEBI Certified – Research Analyst Equities I Commodities I Currencies I Mutual Funds
22nd
Sep’2016
Economic Indicators
Date Time Data Prior Expected Impact
22.09.16 All Day Japanese Bank Holiday
22.09.16 6:00 PM Unemployment Claims Actual < Forecast = Good
for currency; USDINR
22.09.16 6:30 PM ECB President Draghi
Speaks
22.09.16 7:00 PM MPC Member Cunliffe
Speaks
22.09.16 7:30 PM6 Existing Home Sales 5.39M 5.45M Actual > Forecast = Good
for currency; USDINR
22.09.16 10:30 PM BOE Gov Carney Speaks
22.09.16 10:30 PM MPC Member Forbes Speaks

5. Currency Highlights
22nd
Sep’2016
SEBI Certified – Research Analyst Equities I Commodities I Currencies I Mutual Funds
Vikas Chaudhari
Digitally signed by Vikas Chaudhari
DN: cn=Vikas Chaudhari, o=Choice Equity Broking Pvt Ltd,
ou=Research Department,
email=vikas.chaudhari@choiceindia.com, c=IN
Date: 2016.09.22 09:11:36 +05'30'