Global Fund Manager David Lundgren

Technical charts are indicating the possibility of future leadership of the Indian equity market, once the dust settles on the current crisis, according to veteran portfolio manager Dave Lundgren.

The Sensex’s relative strength in local currency is typically negatively correlated with the dollar-rupee movement, but this is currently at its highest positive correlation since 2000, Lundgren, a CMT, and founder and chief strategist at MOTR Capital Management and Research, told BQ Prime.

“What I find interesting is that as strong as the dollar has been against the rupee, the Sensex has, regardless of that, been outperforming the S&P 500,” Lundgren said, on the sidelines of the CMT Association’s summit in Mumbai.