An analysis on impact of exchange rate on Nifty and S & P Sensex

Abstract

In the last two decades, the developments happened in India have led to an interdependency between the stock market and exchange rate markets. The present study focuses on understanding the impact of the foreign exchange rate and the stock market interdependency. The indices NIFTY and SENSEX define major movements in the stock market hence they gain importance in studying. Also, the technical analysis has been done for the Indices to study the performance of stock. The results obtained from the study will facilitate the decision making of the investors.