INR heading for 66.15 per USD

The strength of an economy is, amongst other things, indicated by the strength of its currency (and vice versa).

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This does depend on RBI’s willingness to let the INR rise… On balance, if left to market forces alone, the INR is headed to 66.15/$ in the near term. In the long term, the INR has the strength to rise to sub-66/$.

If the INR rises to well below the Very Long Term Support at 67.70/$ then we will surely see INR 66 to the USD. It also depends on the strength of the USD which is facing pressure thanks to Trump’s Trade War with China.

A second term for the NDA Government could well mean stronger days for the INR despite the old bogey that exports will suffer!

@jsvasan

 

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