Rupee opened marginally higher

Rupee had opened marginally higher on anticipation that local shares is likely to gain and this could in turn spur foreign fund inflows. But currency slipped after rising marginally in early trade on dollar demand from a state-run bank and a major oil company. Rupee is expected to trade in the range of 39.80-40.10.Currency is expected to be highly volatile for the day. Good support is seen at 39.75 and key resistance for the currency is at 40.20.Stochastic and Relative Market strength index are giving a indication of the downtrend but an element of caution is required as it is seen at oversold levels.