FxWirePro: Yen likely to gain further against INR, broad trend downside

INR is clearly in back foot against Dollar as at one hand investor lean towards more attractive opportunity in Europe as European Central bank (ECB) prepares to ease policy further and US Federal Reserve kept the door open to the possibilities to a rate hike in last meeting of the year.

On the other hand, Bank of Japan (BOJ) held monetary policy steady and it doesn't seem in the very near future Bank of Japan will be easing policy further unless clarity appears from ECB and FED over their actions. Yen is obviously the gainer over this.

These developments make Yen a good buy against INR.

Trade idea -

• JPY/INR is currently trading at 0.5417 or 54.17 per 100 INR. Buy Yen at current rate against INR, targeting 55 area, and stop around 53.7 area.
• However, larger trend is to the downside, which may come active near 55 area.