Price action has been low over the past few months. Prices are stuck between roughly 64 and 65 despite a further rise in stock prices. USD weakness versus most FX majors is also visible in INR. Nevertheless, the near term outlook remains roughly the same: expect a bounce up to about 66.55 or max 67.90.
The medium term remains difficult: is the market engaged in a complex multi-year counter trend phase (correction in uptrend) or base building before a long-term trend reversal (i.e. bearish)? We’ll have to monitor developments over the next few weeks and months for more signals.
- Current trend: consolidation in down trend
- Outlook/expectations: recovery in down trend
- Strategy: sell the rallies up to 66.55
- Support: 64.02 / 63.50 / 60.75-
- Resistance: 64.95 / 66.55 / 67.90 / 68.95+
Daily chart USD/INR