USD/INR Analysis: Trend Remains Upwards And Under Tight Supervision -

USD/INR Analysis: Trend Remains Upwards And Under Tight Supervision

Aug 01, 2024Jeremy ParkinsonFinance0

The USD/INR is one of the biggest currency pairs in the world, but it remains tightly controlled by the Reserve Bank of India.

The USD/INR pair is near the 83.7310 realm as of this writing with the typical amount of rather fast changes occurring across the screen because of its large spread between bid and ask prices.

The USD/INR has risen in early trading today after testing lower depths yesterday near the 83.6110 ratio, but intriguingly this low occurred after another high had been made near the 83.7485 vicinity.

The USD/INR remains under very tight controls by the Reserve Bank of India, this is not about to change.

The trend higher in the USD/INR has been in plain sight technically via long-term charts, but astonishingly the incremental climbs upwards from the currency pair tend to move so slow that it does not gather much attention from the global media. The moves to apex highs are noteworthy and the fact is the government of India is pursuing a soft Indian Rupee policy likely to spur on global business which it views as vital.
Day Traders and Speculative Considerations for the USD/INRBecause retail traders in India are not allowed legally to speculate on the USD/INR within the nation, many people have accounts located in other areas such as Singapore and Dubai in order to wager on the currency pair. The USD/INR certainly has price velocity which must be given attention and care. If a trader is over leveraged while pursuing a position, the smallest of moves can alter their trading account if not enough risk management has been used.It might seem tempting to bet against the trend of the USD/INR as it touches all-time highs. Perhaps the currency pair has traversed too far and will start to turn around, might be the thought of speculators who are keen to take advantage of these type of dynamics. However, the problem for the USD/INR is that it is not freely trading, the Reserve Bank of India controls the levers and if they believe the Indian Rupee needs to remain weaker, they will see to it that the USD/INR stays in a bullish trend – but ever so slightly.
Betting on the USD/INR with Quick Hitting MovesIf a trader wants to bet on the direction of the USD/INR and they do not have deep pockets, quick hitting trades may work effectively. In order to achieve success in the USD/INR technical considerations should be well thought out, and because the trend has been consistently higher, the prospect of buying the USD/INR on selloffs which test technical support is a potential choice.

But wagering on the USD/INR remains difficult and dangerous because sudden moves in the currency pair do happen.

Entry orders are needed to because the spread between the bid and ask in the USD/INR is frequently large too, and traders need the best fills possible for good outcomes.

USD/INR Short Term Outlook:

Current Resistance: 83.7400

Current Support: 82.7250

High Target: 83.7460

Low Target: 83.6760

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