USD / INR TECHNICAL ANALYSIS
Hourly Chart
Current level is 74.12
First Resistance is in range of 74.25 to 74.35. 74.24 is 18 hour moving average, 74.29 is Bollinger Band and 74.35 is 50 hour moving average
Second Resistance is 74.60 which is Bollinger Band
Support level is 74.00 in hourly chart which is Bollinger Band and a big figure.
RSI is at 32.22 which is a oversold zone and we expect buying in Initial trading.
MACD divergence is also narrowing is looking to come dup which is also a mildly dollar bullish signal. We recommend Buying below 74.10 in initial hours with strict stop loss below 74.00
Daily Chart
As we can see in daily chart that there is resistance in the 74.20 to 74.30 range. 74.20 is 18 day moving average, 74.22 is Bollinger Band and 74.33 is 7 day moving average.
Second Resistance in Daily chart is at 74.84 which is Bollinger Band
In downside, first support is at 74.02 which is a 50 day moving average. We expect Reserve Bank to buy US Dollars near 74 – 74.10 like yesterday. so now 74 has become a strong support. If it breaks 74.00 then the next support is 73.60 which is Bollinger Band.
RSI is at 50.16 which is neutral.
MACD divergence is very narrow and parallel to X axis which is Dollar neutral in daily chart.
Summary
Buying is expected near 74 levels but if it breaks 74 then it may test 73.75 – 73.60. On the upper side there is strong resistance from 74.20 to 74.35 range and we do not expect a break of this range today. However if due to RBI Buying or any negative news, it breaks the range then it may test 74.60
Disclaimer : The technical analysis and views expressed is my own views. I am not responsible for any losses on account of following the same.
