USD/INR Technical Analysis: Remains trapped in a contracting triangle

USD/INR faced rejection at key hurdle at 72.12 on Monday.
The pair remains trapped in a contracting range on the weekly chart.

Omkar Godbole FXStreet Contributor

USD/INR remains trapped in a contracting triangle on the weekly chart.

The US-Iran tensions put a strong bid under the greenback on Monday, lifting the USD/INR pair to 72.12, the highest level since mid-November.

The pair, however, failed to take out 72.12 – the upper edge of the resistance – and closed at 71.8630.

A weekly close or consecutive daily closes above 72.12 are needed to confirm breakout or continuation of the rally from the low of 68.8430 reached in July 2019. A breakout will likely fuel a quick move above 73.00.

The triangle breakout is unlikely to happen on Tuesday as US-Iran wires have gone quiet in the last 12 hours or so, allowing a pullback in haven assets. For instance, gold is currently trading at $1,558 per Oz, representing a 0.4% drop on the day, having hit a high of $$1,588 on Monday.

Weekly chart

Trend: Neutral

Technical levels

USD/INR

Overview
Today last price	71.71
Today Daily Change	-0.1100
Today Daily Change %	-0.15
Today daily open	71.82

Trends
Daily SMA20	71.1473
Daily SMA50	71.3145
Daily SMA100	71.3079
Daily SMA200	70.425

Levels
Previous Daily High	72.22
Previous Daily Low	71.73
Previous Weekly High	72.0638
Previous Weekly Low	71.1005
Previous Monthly High	71.98
Previous Monthly Low	70.328
Daily Fibonacci 38.2%	72.0328
Daily Fibonacci 61.8%	71.9172
Daily Pivot Point S1	71.6267
Daily Pivot Point S2	71.4333
Daily Pivot Point S3	71.1367
Daily Pivot Point R1	72.1167
Daily Pivot Point R2	72.4133
Daily Pivot Point R3	72.6067

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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