USD/INR Price Analysis: Bulls face resistance near 74.50
- USD/INR looks to extend gains on Monday in the Asian trading session.
- Bulls face stiff resistance near the 74.50 critical resistance area.
- Momentum oscillators hold onto an overbought zone with a negative bias.
USD/INR edges marginally higher in the Asian trading hours on Thursday. The pair confide in a narrow trade band.
At the time of writing, USD/INR is trading at 74.70, up 0.03% for the day.
USD/INR daily chart
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On the daily chart, the pair has been consolidating in a broader trading range of 74.10 and 74.80 for the previous month.
A sustained move above the intraday high would strengthen the upward price action further. The bulls would march toward the 20-day Simple Moving Average (SMA) 74.55.
The Moving Average Convergence Divergence (MACD) indicator trades consistently above the midline, which indicates the upward movement might be continued for some time until it fell below the central line.
In doing so, the bulls would attempt to recapture the high of July 20 at 75.00.
A daily close above the psychological mark 75.00, would ask for the levels last seen in April. USD/INR bulls would reclaim the high of April 22 at 75.43.
Alternatively, if price slips below the session’s low, it could move back to the previous day’s low of 74.24.
A break of the lower trendline of the rectangle price pattern would amplify the selling pressure in the pair toward the June 18 low of 73.82.
The market participants would then aim for the 73.50 horizontal support level.
USD/INR additional levels
Author
Rekha Chauhan
Independent Analyst
Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.
