Jan 08 2019

USDINR:- likely to move towards 71.00 – 71.50

USDINR:- Analysed the daily chart of USDINR, which is indicating that the pair is trading close to its short term bottom. USDINR is trading well above its 200 day simple moving average (signalling the strength of bulls). Price divergence in RSI (14 Days) and MACD (5,35,5) at oversold zone are clearly visible – price action had made lower lows while the momentum indicators has formed lows, higher than their previous low. A bullish crossover between MACD and Signal line is also suggesting a possible up move in USDINR.  There is some clear price gaps which needs to be filled on the higher side, 1st gap is lying between  71.35 to 71.5050 while the other one is at 73.2150 – 73.45. An exponential moving average of 50 days – which had earlier acted as a  strong support for USDINR is coming at 70.93 (as a converted resistance for now). According to the studies, we are expecting a move towards 71.00-71.50 in near term, any close below 69.39 will negate the above view.