USDINR at crucial juncture!

See yourself what do we think of Indian Rupee against US Dollar (USDINR). Prices have been moving in predictable fashion and forming very clear Elliott wave patterns.

USDINR (Feb Contract): Daily chart

 Prices moved up in 5 waves and made a high near 55.06 (Feb contract).  From there we corrected in the form of wave A till 49. We are now bullish on USDINR for following reasons:

1.       61.8% retracement of entire move up from 45.45 to 55.06 (Feb contract) is at 49

2.       Previous 4^th wave support is at 49

3.       Internal wave counts show we are in 5^th wave which is forming as ending diagonal

4.       Time cycles show we are nearing a bottom very soon and shall start rallying (i.e. USDINR move up) anytime now

5.       10 period ROC is showing strong positive divergence with respect to price and has now moved towards 0 levels.

We think that USDINR shall bottom anytime now in next week and start a strong leg up which will take prices atleast towards 51 – 51.50 levels. Let us wait and watch if we are measuring this currency pair correctly with our technical tools!

For more information on Forex Financial Edge short term update, which is published alternate days that show not only USDINR but also other cross pairs GBPINR, JPYINR, EURINR, write to us on helpdesk@wavescapital.com.