USD/INR Hits Three-Week High, What’s Next for the Rupee?

Summary:
• USD/INR hits a three-week high as the Fed holds rates steady, keeping the dollar strong. Will the Rupee recover, or is 87.44 the next stop?

The USD/INR exchange rate surged to a three-week high, maintaining strength after the Fed Reserve left interest rates unchanged. The decision reinforced the dollar’s dominance, keeping pressure on the Indian Rupee. As markets digest the Fed’s stance, traders are closely monitoring key support and resistance levels to gauge the next move in USD/INR price action.

USD/INR Technical Analysis

• Three-Week High: USD/INR touched 87.44 before facing a slight profit booking.
• Current Price: 86.31.
• Resistance Levels:
  • 86.69 – Immediate resistance; a breakout could push prices toward 86.88.
  • 87.44 – 87.98 – Recent high; sustained momentum is required for an upside move.
• Support Levels:
  • 86.13 – Key near-term support; a break below could lead to further weakness.
  • 85.80 – 85.37 – Strong demand zone; critical for Rupee stability.

What’s Next for USD/INR?

The USD/INR rally isn’t over just yet, but the next move depends on whether the bulls or bears take control. If the pair breaks above 86.69, we could see a swift march back toward the three-week high of 87.44 and beyond.

On the flip side, if 86.13 gives way, a deeper pullback toward 85.80 might be on the cards, where buyers could step in to defend the Rupee. With global interest rates, RBI policies, and risk sentiment all in play, traders should buckle up—because the next move in USD/INR could be just around the corner!