USD/INR Price Analysis: Indian Rupee bulls pierce weekly resistance near 82.40

• USD/INR takes offers to renew intraday low, prints three-day losing streak.
• Failure to stay past 82.80, bearish MACD signals favor Indian Rupee pair sellers to prod one-week-old rising trend line.
• Convergence of 200-SMA, previous resistance line from May 19 limits USD/INR downside.
• Descending trend line from Thursday restricts recovery moves.

USD/INR drops for the third consecutive day as it renews intraday low near 82.40 amid early Tuesday in Europe. In doing so, the Indian Rupee (INR) pair pokes a one-week-old rising support line while extending the previous week’s retreat after failing to cross the 82.80 upside hurdle.

Adding strength to the downside bias are the bearish MACD signals and the pair’s sustained observance of a downward-sloping resistance line from Thursday, close to 82.60 at the latest.

With this, the USD/INR pair is likely to break the 82.60 support but a convergence of the 200-SMA and a seven-week-old resistance-turned-support, around 82.25 by the press time, appears a tough nut to crack for the pair sellers.

Also acting as a downside filter is the 38.2% Fibonacci retracement of the pair’s May-July downside, near 82.15, as well as the 82.00 round figure.

On the flip side, a clear upside break of the immediate resistance line, near 82.60, could propel the USD/INR price towards the latest peak of around 82.80. Following that, the 83.00 round figure will be in the spotlight.

Overall, USD/INR is likely to witness further downside pressure but the bears may find it difficult to keep the reins past 82.25.

USD/INR: Four-hour chart

Trend: Further downside expected