USD/IDR Technical Analysis: Probing falling channel resistance

Omkar Godbole FXStreet Contributor

USD/IDR is trading in the green for the fifth consecutive day and is currently flirting with the upper edge of a bearish channel created over the last six weeks.

Daily chart

As seen above, the pair is pushing against the channel hurdle of 14,145.
A close higher would confirm a violation of the bearish lower highs and lower lows pattern (falling channel) and open the doors to 4,251 (March 29 high).
The 14-day relative strength index is already flashing a falling channel breakout. So, USD/IDR looks set to find acceptance above the channel resistance at 14,145.
A strong rejection at the channel hurdle, if followed by a quick drop below 14,089 (March 21 low), would weaken the bull case.

Trend: Bullish

Pivot points

1. R3 14335.6667
2. R2 14257.8333
3. R1 14214.6667
PP 14136.8333
1. S1 14093.6667
2. S2 14015.8333
3. S3 13972.6667

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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