Indian rupee erases losses on stronger equities

* Touches intraday low of 47.25/dlr on early share falls

* India's main share index ends 0.95 percent higher

* Near-term outlook bullish for rupee, says trader

(Updates to close)

By Anurag Joshi

MUMBAI, Nov 5 (Reuters) - The Indian rupee erased early losses to close stronger on Thursday tracking local equities and stoked a bullish near-term outlook for the local currency. The rupee had touched an intraday low of 47.25, after the main share index .BSESN fell as much as 2.2 percent earlier in the day and as the dollar strengthened overseas.

The partially convertible rupee INR=IN ended at 47.0150/0250 per dollar, off the day's peak of 46.9925, and slightly above Wednesday's close of 47.05/06.

"The outlook is bullish for the rupee in the near term. I see it in the 46.80-46.90 range in a day or two," said a senior trader at a private bank.

Indian shares climbed nearly 1 percent erasing earlier falls, with telecom stocks among the gainers, as bargain hunters stepped in towards the close. [.BO]