Option call and Rupee Outlook

UPDATE 12-11-2013

Book 100 % profit in option pair mentioned below last week @ 0.46 p.

Option CALL - Buy 63.50 S/P Call option @ 0.4050 and Sell 64.50 S/P call option @ 0.1650 (Exit if USD/INR spot breaks 61.80).

UPDATE--11--11--2013

Book 50 % profit in option pair mentioned below of last week @ 0.35 p.

Option call  - Buy 63.50 S/P Call option @ 0.4050 and Sell 64.50 S/P call option @ 0.1650 (Exit if USD/INR spot breaks 61.80).

Rupee fell the most in over two months today on sustained dollar demand from state-run banks, leading to speculation that they were buying on behalf of oil refiners. The Reserve Bank of India has been directly providing dollars to state-run oil firms via a dollar swap facility since late August, taking an estimated $300-$400 million off daily market trading. When will these oil firms resume their dollar purchases in markets has been a topic of speculation in recent days. The central bank has said it will gradually withdraw the oil window as the rupee stabilises, but has not indicated a timeline.

Last month the currency market was driven by a series of macroeconomic data releases. India’s trade deficit shrinking to $6.8 billion in September as compared to $10.9 billion in August improved sentiment in the currency market. But weak industrial production numbers and inflation that refuses to be tamed pushed back the rupee. The IIP grew at 0.6 per cent in August against 2.75 per cent in July. India’s wholesale price inflation rose to 6.46 per cent in September from 6.1 per cent in August and the consumer price inflation rose to 9.8 per cent from 9.5 per cent. High inflation data has left the doors open for another rate hike from the RBI which could keep the rupee under pressure.

Outlook:

For the short term, the rupee could trade in a sideways range between 61 and 63.50. Within this range, there are good chances of the rupee weakening to 64-65 in the coming weeks. Intermediate support for the rupee is seen at 61.60, where as sustained above can test 63.40 level.

WHAT EVER YOU EARN FROM MY CALLS PLEASE GIVE 10% PROFIT'S FOOD TO COWS AND DOGS HELP THM GOD WILL HELP YOU-!!!