USD/INR Price Analysis: Indian Rupee buyers are well-set for 80.90
|- USD/INR bears take a breather around two-week low.
- Sustained trading below 50-DMA, bearish oscillators favor sellers.
- Four-month-old support line, 100-DMA to challenge bears, descending trend line from late October adds to the upside filters.
USD/INR stays defensive around the lowest levels in two weeks, steady around 81.10 by the press time, as bears pause after a four-day south-run during early Friday. Even so, the Indian Rupee (INR) buyers remain hopeful to extend the latest downturn.
That said, the USD/INR pair’s failure to cross the 50-DMA joins the Moving Average Convergence and Divergence (MACD) indicator’s bears signals and downbeat conditions of the Relative Strength Index (RSI) line, placed at 14, to keep bears hopeful.
With this, the intraday sellers could keep attacking the 81.00 threshold ahead of reaching the key support line from early August, near 80.90.
Following that, the 100-DMA level surrounding 80.77 and November’s low of 80.47 could lure the bears afterward.
Alternatively, a convergence of the three-week-old descending trend line and the 50-DMA highlights 81.90 as strong resistance for the USD/INR bulls to crack before retaking control.
Even so, a downward-sloping resistance line from October 20, close to 82.35, could challenge the pair’s further upside.
In a case where AUD/USD remains firmer past 82.35, the odds of its run-up towards the record high marked in October around 83.30 can’t be ruled out.
USD/INR: Daily chart
Trend: Further downside expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.