USD/INR Price Analysis: Bulls have the upper hand, could aim to test all-time peak near 83.45

USD/INR is seen consolidating in a narrow band just above the 83.00 mark.
The technical setup favours bulls and supports prospects for additional gains.
Any meaningful corrective slide is likely to get bought into and remain limited.

Haresh Menghani FXStreet

The USD/INR pair struggles to capitalize on its modest gains registered over the past two days and oscillates in a narrow range through the Asian session on Friday. Spot prices currently trade just above the 83.00 mark and the setup suggests that the path of least resistance is to the upside.

The positive outlook is reinforced by the fact that the USD/INR pair is holding comfortably above technically significant 100-day and 200-day Simple Moving Averages (SMAs). Moreover, positive oscillators on the daily chart – though have been losing traction – favour bullish traders and validate the near-term positive outlook. Hence, some follow-through strength beyond last week's swing high, around the 83.20-83.25 region, en route to the record high, around the 83.45 region touched in August, looks like a distinct possibility.

On the flip side, any meaningful slide might continue to find some support near the 82.80 area or the weekly low. This is followed by the 100-day and the 200-day SMAs confluence, currently pegged around the 82.45-82.35 region, which should act as a pivotal point. A convincing break below might prompt some technical selling and make the USD/INR pair vulnerable to accelerate the slide to the 82.00 mark.

The downward trajectory could get extended further towards the July monthly swing low, around the 81.70-81.65 region. Failure to defend the said support levels will suggest that USD/INR has topped out in the near term and pave the way for a meaningful corrective decline. Spot prices might then weaken towards the 81.35 intermediate support before eventually dropping towards testing sub-81.00 levels.

USD/INR daily chart

Technical levels to watch

USD/INR

Overview
Today last price	83.0397
Today Daily Change	-0.0389
Today Daily Change %	-0.05
Today daily open	83.0786

Trends
Daily SMA20	82.8992
Daily SMA50	82.6596
Daily SMA100	82.4494
Daily SMA200	82.3447

Levels
Previous Daily High	83.2896
Previous Daily Low	82.7745
Previous Weekly High	83.3714
Previous Weekly Low	82.585
Previous Monthly High	83.5505
Previous Monthly Low	82.224
Daily Fibonacci 38.2%	83.0928
Daily Fibonacci 61.8%	82.9712
Daily Pivot Point S1	82.8055
Daily Pivot Point S2	82.5325
Daily Pivot Point S3	82.2905
Daily Pivot Point R1	83.3206
Daily Pivot Point R2	83.5626
Daily Pivot Point R3	83.8356

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

GBP/USD weakens to two-week lows near 1.3520

GBP/USD trades on the back foot, returning to the low 1.3500s, or two-week troughs, on Tuesday. Cable’s bearish price action follows decent gains in the Greenback at the time when investors assess latest US data releases and the persistent uncertainty in the US-Iran crisis.

EUR/USD remains offered; breaks below 1.1600

EUR/USD now accelerates its daily correction, breaching below the key 1.1600 support level on Tuesday. The pair’s daily correction comes on the back of a decent bounce in the US Dollar despite disappointing US data releases and amid persistent geopolitical concerns.

No reaction from Gold; still targets $4,300

Gold extends Monday’s pessimism and slipped back to nearly three-week lows just above the $4,300 mark per troy ounce on Tuesday. The US Dollar’s rebound couple with rising US Treasury yields weigh on the precious metal despite tensions in the Middle East appear far from abated.

Crypto Today: Bitcoin, Ethereum, XRP struggle to extend gains despite ETF inflows

Bitcoin stalls while holding above $78,000 support as ETF inflows return. Ethereum takes a breather around $2,450 amid sustained institutional support. XRP remains pressured as the 200-day EMA provides immediate support.

Global bond market sell off haunts markets

Global sovereign bonds are selling off as we start a new month. The UK is, unsurprisingly, taking the biggest hit. Two and 10-year yields rose by 10 basis points at one point on Tuesday, and are currently higher by 7 and 8bps respectively.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.