USD/INR Price Analysis: Indian Rupee pares recent gains near 82.20, bulls need acceptance from 200-EMA
- USD/INR edges higher for the third consecutive day as bull’s eye 200-EMA.
- Upbeat RSI (14), sustained rebound from two-week-old rising support line keeps Indian Rupee pair buyers hopeful.
- Descending resistance line from July 06 holds the key to USD/INR run-up.
USD/INR clings to mild gains around 82.17 amid early hours of Monday morning in Europe. In doing so, the Indian Rupee (INR) remains firmer for the third consecutive day after bouncing off a fortnight-old rising support line in the last week.
Not only the pair’s rebound from a short-term trend line support but the firmer RSI (14) line, not overbought, also underpin hopes of USD/INR recovery.
However, the 200-Exponential Moving Average (EMA) hurdle of around 82.22 by the press time challenges the USD/INR pair’s immediate upside.
Following that, a seven-day-long faling resistance line, close to 82.40 at the latest, will act as the last defense of the Indian Rupee pair seller’s defense, a break of which could trigger a run-up towards the early July’s swing low surrounding 82.55.
It’s worth noting that the monthly high of near 82.85 and May’s peak surrounding 83.00 appears tough nuts to crack for the USD/INR bulls afterward.
Meanwhile, the USD/INR pair sellers need to market a sustained downside break of the aforementioned two-week-old rising support line, close to the 82.00 psychological magnet.
In a case where the Indian Rupee buyers manage to conquer the 82.00 support, the odds of witnessing a slump towards the monthly low of around 81.75 can’t be ruled out.
USD/INR: Four-hour chart
Trend: Further recovery expected