- USD/INR snaps a four-day winning streak, eases from five-week lows.
- Indian rupee buyers emerge near 75.30, as the USD eases across the board.
- 50-DMA at 74.90 eyed if USD/INR corrects further ahead of US inflation.
USD/INR is retreating from five-week highs of 75.31, tracking the pullback in the US dollar across the board.
The sentiment around the Asian stock markets and US equity futures improves, in the wake of likely easing of the Ukraine tensions and fading Fed rate hike concerns, capping the demand for the safe-haven US dollar.
Meanwhile, Indian rupee bulls pay little heed to the renewed uptick in oil prices, as the dynamics of the US dollar remain pivotal ahead of the PCE inflation data.
At the time of writing, the spot is heading south towards 75.00, posting moderate losses on the day.
If the correction gathers steam, then USD/INR bears could the mildly bullish 50-Daily Moving Average (DMA) at 74.90.
Further south, the 100-DMA support at 74.68 will come to the rescue of bulls.
The 14-day Relative Strength Index (RSI) is turning lower while above the midline, justifying the pullback in the spot from multi-week highs.
USD/INR: Daily chart
On the flip side, buyers will retest three-week highs of 75.31, above which the December 23 top of 75.48 will be eyed.
The next relevant upside target is envisioned at $76.00, the round figure.
USD/INR: Additional levels
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