USDINR Trend: Further weakness expected

USD/INR ANALYSIS (Technical)

  • USD/INR bounces off 11-month low but bears keep the reins.

  • Sustained break of 61.8% Fibonacci retracement, absence of oversold RSI suggest further weakness.

  • Three-month-old resistance line offers immediate resistance ahead of the key Fibonacci retracement level.

  • Highs marked since September 2019 challenge the bears.

USD/INR ANALYSIS (Fundamentals)

  • India’s 2021 growth outlook revised to 11.5% by IMF

  • Vaccine rollout program requires additional buy-in from public

  • U.S. Dollar influence remains critical to USD/INR

USD/INR - The US Dollar (USD) against the Indian Rupee (INR) is emerging as a popular currency pair out of the exotic pairs group. While the USD/INR pair is monitored by the Reserve Bank of India, resulting in a managed floating rate, other currency pairs against the Indian Rupee (including the Euro) have a market-determined or floating exchange rate. As India's economy and business climate continue to develop and grow, trading the USD/INR pair has become an attractive investment opportunity for forex traders.


Disclaimer - Any of our investment or trades we share on our blog are provided for educational purposes only and do not constitute specific financial, trading or investment advice. The blog is intended to provide educational information only and does not attempt to give you advice that relates to your specific circumstances.

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