USDINR: Start of next trend on upside?

Rupee depreciated against US Dollar by more than 2% in just 3 trading sessions. This meansUSDINR moved higher from 61.80 to 62.50.  This up move was not surprise to our subscribers and we were able to capture the whole up move.

In the mid of January 2013 USDINR was at the crucial level where it was at make or break situation. In this kind of scenario objective and systematic way i.e. Technical analysis is very effective which shows the true picture of the asset and help us to take decision in proper way.

On 22nd January we published a free article on website Rupee near two week low. What’s next? Below is the write up picked up from the same article:

In today’s morning trading session prices made a high of 62.09 and almost achieved our first target. Now, question is that, will prices start a down move as prices are trading at resistance or continue the up move.

USDINR continued the up move and achieved the target mentioned in the currency report –TheForex Waves STU published on alternate basis.

Below is the chart picked up from the previous currency report

USDINR Daily chart spot:

Wave Analysis:

On 27^th January 2014 morning we mentioned the following:

For USDINR in last update we mentioned that, “Any break above 62.15 will take prices towards 62.80/62.90 where resistance is placed.” BANG ON!!

As shown in daily chart, as mentioned in the last update, there is very high probability that since September 2013, prices have been moving in big triangle pattern in intermediate wave iv. On the other side, in Fridays trading session, Indian market showed weakness and closed on negative note by more than 1%. This is in sync with Indian currency which is increasing the odd that prices may have started intermediate wave v on upside. However, more confirmation we will get above ……. levels only.

As per time perspective, prices moved lower from the level of 62.60 to 61.50 in form of last leg of triangle pattern in minor wave e. This correction took almost 11 trading sessions and the current bounce back has took only 5 trading sessions and it has moved above the high from where wave (e) started and closed on the positive note. As per advanced Elliott wave perspective, the first confirmation of the triangle pattern completed we can get when prices retraces wave (e) leg in faster time. Here we can clearly see that, prices acted accordingly and increasing the odds that triangle pattern may have completed. Further confirmation we will get above ….

We have also shown 120 mins chart along with internal wave counts which is showing next wave counts after the break from triangle pattern. To capture the next wave in USDINR, subscribe to the currency report- The Forex Waves STU which also consist comprehensive research onEURINR, GBPINR and JPYINR. For more information visit to us at http://www.wavesstrategy.com/index.php/store.html