US Dollar (USD) is likely to trade in a range of 7.1220/7.1350. In the longer run, there is scope for USD to test 7.1450.
Scope for USD to test 7.1450
24-HOUR VIEW: “We noted yesterday that ‘there has been a slight increase in upward momentum’, and we were of the view that USD ‘could edge higher to 7.1390’. USD subsequently rose to a high of 7.1380 before easing to close largely unchanged at 7.1306 (-0.07%). The current price movements are likely part of a range-trading phase. Today, we expect USD to trade in a range of 7.1220/7.1350.”
1-3 WEEKS VIEW: “We have held a mildly positive USD view since early this week. Yesterday (05 Nov, spot at 7.1340), we highlighted that ‘there is scope for USD to test 7.1450’. We added, ‘to sustain the mild upward momentum, USD must hold above 7.1170 (‘strong support’ level)’. We continue to hold the same view.”