The USD/INR is near 81.3300 with rather quick price action being exhibited early this morning. On Thursday of last week the USD/INR was trading near the 81.9000 ratio, only to see the currency pair demonstrate fast momentum downwards and touch a depth of about 80.4550 on Friday. Since then the USD/INR has incrementally moved higher, but it has had a choppy direction. This morning’s value saw a rise towards the 81.5800 level only to be pushed back.
The USD/INR was Trading above the 83.0000 Ratio Less Than 1 Month Ago
The rather choppy trading the USD/INR has produced the past handful of days, after achieving a low this past Friday which was a value not seen since the fourth week of September may be frustrating some speculators. The long-term bullish run of the USD/INR was strong and it achieved a record apex for the currency pair. However, in the past couple of weeks the USD/INR has mirrored the broad Forex market and begun to see bearish selling grow as the USD weakens.
The price action of the USD/INR highlights the need for traders to be practical. Speculators cannot expect only one way moves with their currency pairs, risk management may be repeated as a mantra but it is for an important reason. The mechanics of trading are difficult and a solid plan of attack is needed to be successful. The USD/INR hit an important low last week, it has climbed since this depth was hit, but traders may want to consider that it is a natural part of cycles within Forex.
Support Level of 81.3000 Short-Term should be monitored by Traders
- This morning’s price action has seen a rise in value and then the USD/INR started to drift lower again, now support at 81.3000 looks to be rather important. If this value is broken lower and sustained it could be a signal bearish activity is starting to grow again for sellers.
- Resistance around the 81.4000 should be monitored; if this ratio proves durable it may serve as a catalyst for speculators who want to pursue further downside price action.
Traders of the USD/INR have to be patient and look at technical movements carefully to gauge their perspectives regarding daily cycles of the Forex pair. The recent ability of the USD/INR to move higher may prove an opportunity to actually take advantage of the push upwards and pursue selling wagers which target support levels. Conservative leverage and solid stop losses should be used, but looking for the USD/INR to once again flirt with lower values may prove worthwhile.
USD/INR Short-Term Outlook:
Current Resistance: 81.4040
Current Support: 81.2510
High Target: 81.5880
Low Target: 80.8500
Ready to trade our Forex forecast? Here’s a list of some of the best Forex trading platforms to check out.