USD/INR Price Analysis: Bears taking on the last defence

USD/INR bulls stepping in at critical daily support.
A 50% mean reversion could be on the cards for the starting sesisons of the week.

Ross J Burland FXStreet

USD/INR has been a slow-burning grind to the downside for the past several days and is now testing a critical layer of support as the last defence until a break of 74 the figure.

The bulls, however, could be seen here and a retracement to test the 74.40s could be on the cards for the forthcoming sessions. The following illustrates the landscape and prospects of a significant correction on the daily chart:

USD/INR daily chart

There is a 50% mean reversion level that has a confluence of the prior support, at least from a closing basis, located near 74.40. A test there could be on the cards for the sessions at the start of the week before bears engage in force again.

With that being said, should the US dollar continue to slide, then bears will be keen to see a break of the 74 level that will expose 73.80support, an eara that should significant trading activity throughout the Sepetember business of this year.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

EUR/USD clings to modest gains above 1.1550 post-US CPI

EUR/USD stays in positive territory above 1.1550 in the American session on Wednesday. The data from the US showed that the annual CPI inflation climbed to 4.2% in May. This print came in line with the market expectation and made it difficult for the USD to gather strength.

GBP/USD pulls away from session highs, stays above 1.3400

GBP/USD stays in positive territory slightly above 1.3400 despite pulling away from session highs. The cautious market stance helps the US Dollar limit its losses and cap the pair's upside as investors assess the US inflation data, which showed that the CPI rose 4.2% on a yearly basis in May.

Gold trades at fresh 10-week low below $4,200

Gold builds on Tuesday’s losses and remains under heavy pressure, gyrating around the $4,150 mark per troy ounce as investors evaluate the latest US CPI data on Wednesday. Meanwhile, developments from the Middle East crisis and the likelihood of a more cautious Fed in the next few months continue to weigh on the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP face downside pressure amid investor de-risking

Major crypto assets trade under intense headwinds on Wednesday, as market participants navigate complex geopolitical and macroeconomic environments.

The market gets a CPI core reprieve, but Oil still holds the match

The market just got a temporary get-out-of-jail-free card, not a full pardon, but enough to keep the Fed’s hand off the rate hike lever as the tape exhales, at least for now. Headline CPI landed exactly where feared, with prices rising 0.5% MoM and 4.2% YoY, the hottest annual inflation print in more than three years and a clear acceleration from 3.8% in April.

The US economy defies the rules: 100 days into the Oil shock and the recession signal is still missing

More than three months after the start of the Iran war and the resulting disruption to global energy markets, the US economy continues to display remarkable resilience. The conflict has triggered a sharp rise in Oil prices, reignited inflationary pressures and fueled widespread concerns about a potential economic slowdown.