USD/INR Price News: Indian rupee recovers below 74.45 key level
- USD/INR consolidates the heaviest daily gains in over a week.
- Convergence of 200-SMA, monthly falling trend line guards immediate upside.
- Downbeat sloping RSI, not oversold direct sellers towards two-month-old horizontal support.
USD/INR drops back to 74.32, reversing the previous day’s up-moves, ahead of Wednesday’s European session. In doing so, the Indian rupee (INR) pair drops 0.06% intraday by printing a U-turn from the key resistance confluence comprising 200-SMA and descending trend line from July 21.
Given the RSI conditions being not oversold, coupled with the sustained weakness below the key hurdle, the latest USD/INR pullback is likely to extend.
Hence, the late July bottoms surrounding 74.20 gains the immediate attention of the USD/INR sellers.
However, a horizontal area including multiple levels marked since late June, around the 74.00 threshold, becomes a tough nut to crack for the pair bears afterward.
Meanwhile, a clear upside break of 74.45 will trigger the USD/INR run-up towards the monthly high near 74.60.
In a case where the pair buyers remain on the driver’s seat past 74.60, the yearly top surrounding the 75.00 round figure should return to the chart. Though, there are multiple hurdles around 74.80–90.
USD/INR: Four-hour chart
Trend: Further weakness expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
