USDINR-Consolidation Demonstrated with Short-Term Spikes
The USD/INR is near the 74.3600 price level as of this writing and has seen a low of nearly 74.2800 in early trading. However, when today began, the USD/INR was near the 74.5500 ratio as the pair tested highs last seen on the 12th of November. The Forex pair has seemingly created a rather restrained consolidated price realm the past handful of trading days; yes, there have been quick changes in value but trading has not been violent.
After hitting a low of nearly 73.8400 on the 9th of November, the USD/INR moved higher and hit a ratio of approximately 74.6000 on the 11th. Since hitting this high the USD/INR has created a rather intriguing support and resistance exhibition technically, essentially trading within 74.2600 to 74.5000 with outliers occasionally breaking through the levels momentarily. The question for speculators now is how secure do they feel about the current display of consolidation.
Based on the past month of trading within the USD/INR, speculators are not likely counting on the current price band of the pair to be sustained. Technically, it is easy to see the USD/INR has reached highs beyond the 74.64000 level as recently as the 3rd of November and in fact saw highs of nearly 75.4000 on the 18th of October. Lows for the USD/INR took place as written above on the 8th and 9th of November.
If the consolidated mode of the USD/INR is actually sustained, it may be an indication that another test of lower values will be demonstrated near term. If current resistance levels near the 74.4100 to 74.4300 can hold back upwards momentum after this morning’s rather quick selloff, it may indicate that another wave of bearish activity could be produced.
Conservative traders who want to test the downward momentum of the USD/INR which has shown signs of building since the 1st of November may be inclined to attempt quick-hitting positions which look for support to be tested again. Nearby values of 74.3000 to 74.2800 may prove to be enticing for short-term wagers that can be aimed for as take-profit targets with short term positions.
Indian Rupee Short-Term Outlook
Current Resistance: 74.4100
Current Support: 74.2800
High Target: 74.5100
Low Target: 74.1600
After hitting a low of nearly 73.8400 on the 9th of November, the USD/INR moved higher and hit a ratio of approximately 74.6000 on the 11th. Since hitting this high the USD/INR has created a rather intriguing support and resistance exhibition technically, essentially trading within 74.2600 to 74.5000 with outliers occasionally breaking through the levels momentarily. The question for speculators now is how secure do they feel about the current display of consolidation.
Based on the past month of trading within the USD/INR, speculators are not likely counting on the current price band of the pair to be sustained. Technically, it is easy to see the USD/INR has reached highs beyond the 74.64000 level as recently as the 3rd of November and in fact saw highs of nearly 75.4000 on the 18th of October. Lows for the USD/INR took place as written above on the 8th and 9th of November.
If the consolidated mode of the USD/INR is actually sustained, it may be an indication that another test of lower values will be demonstrated near term. If current resistance levels near the 74.4100 to 74.4300 can hold back upwards momentum after this morning’s rather quick selloff, it may indicate that another wave of bearish activity could be produced.
Conservative traders who want to test the downward momentum of the USD/INR which has shown signs of building since the 1st of November may be inclined to attempt quick-hitting positions which look for support to be tested again. Nearby values of 74.3000 to 74.2800 may prove to be enticing for short-term wagers that can be aimed for as take-profit targets with short term positions.
Indian Rupee Short-Term Outlook
Current Resistance: 74.4100
Current Support: 74.2800
High Target: 74.5100
Low Target: 74.1600
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