USDINR path ahead and breakout from wedge!

Trading Currency: USDINR path ahead and breakout from wedge!

The below article is picked up from "The Forex Waves Short term update" published on 6th November morning. The breakout has already happened and prices are at much higher levels.

Bottom Line: USDINR arrived near the crucial resistance level. Follow up action will determine the direction ahead…

           USDINR Daily chart spot: (data as per 6th morning)

 USDINR 60 mins chart (November contract): (data as per 6th morning)

Wave Analysis:

For USDINR, in the previous week prices managed to defend the support of 60.90 for third time, bounced back on upside and made weekly high of 62.18. In the previous two trading sessions prices moved above the resistance of 62 and made high of 62.20. However, it failed to sustain at higher levels and closed below the resistance of 62.

    

As mentioned in the previous update that Nifty and USDINR had inverse relation, yesterday Nifty closed on negative note by more than 1%. Whereas, USDINR remains flat and on the verge of breaking of 62 level again. Now, to start the next leg on upside it will be imperative for prices to close above 62 level which will be the first positive sign and start of next leg on upside. In short, decisive move above previous high of 62.20 will open up the positive possibilities and prices can head higher towards 63.30/63.50 levels. However, move below 61.50 will continue the sideways action between the range of 60.90-62 levels.

In short, any aggressive move above 62.60 will provide the positive price confirmation and prices can head higher towards 63.50/63.80 levels.

USDINR has already given a breakout as of now. To know what is next from here on and why currency is again going to depreciate over coming weeks subscribe to the currency research by visitng http://www.wavesstrategy.com/index.php/store.html This has JPYINR, EURINR, GBPINR as well.