USD/INR Price News: Indian rupee corrects after running into 100-DMA barrier

USD/INR attempts a tepid bounce, snapping a three-day downtrend.
US dollar index is off monthly lows amid firmer Treasury yields.
Daily technical setup suggests a minor rebound could be in the offing.

Dhwani Mehta FXStreet

USD/INR is trading in the green for the first time in four trading days on Thursday, as bulls come up for the last dance before the sell-off resumes.

The pair rebounds from monthly lows of 74.46, tracking the broad bounce in the US dollar across the board. The US dollar index hit fresh one-month lows of 95.76 on Wednesday, although staged a modest recovery on rising Treasury yields. At the time of writing, the gauge is trading at 95.91, modestly flat on the day.

“It looked yesterday that the rupee’s rally had run its course. It now appears that it has a decent chance to finish the year above the 74.50 level. There are a host of risks the rupee faces in the New Year and the current levels are not justified. However, right now it’s all about momentum, low liquidity, and position adjustments, Reuters reports, citing a dealer at a private bank.

Technically, USD/INR is bouncing off critical support of the 100-Daily Moving Average (DMA), now at 74.53.

If the recovery momentum extends, then a fresh upswing towards the horizontal 50-DMA at 74.94 will be on the table.

Acceptance above the latter will expose the 75.50 psychological level.

The 14-day Relative Strength Index (RSI) is recovering from lower levels, backing the upturn in USD/INR price.

USD/INR: Daily chart

Only a daily closing below the 100-DMA could re-ignite fresh selling interest in the spot, putting the 200-DMA support at 74.24 back on buyers’ minds.

Further south, the 74.00 round number will be the level to beat for USD/INR bears.

USD/INR: Additional levels

USD/INR

Overview
Today last price	74.5372
Today Daily Change	0.0324
Today Daily Change %	0.04
Today daily open	74.5048

Trends
Daily SMA20	75.4753
Daily SMA50	74.9547
Daily SMA100	74.5319
Daily SMA200	74.2385

Levels
Previous Daily High	74.8345
Previous Daily Low	74.5048
Previous Weekly High	76.1832
Previous Weekly Low	74.9755
Previous Monthly High	75.1908
Previous Monthly Low	73.8515
Daily Fibonacci 38.2%	74.6307
Daily Fibonacci 61.8%	74.7086
Daily Pivot Point S1	74.3948
Daily Pivot Point S2	74.2849
Daily Pivot Point S3	74.065
Daily Pivot Point R1	74.7246
Daily Pivot Point R2	74.9445
Daily Pivot Point R3	75.0544

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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