USD/INR: Break above 82.95 essential for affirming next leg of uptrend – SocGen

Economists at Société Générale analyze USD/INR technical outlook.

Stuck within a triangle

USD/INR has evolved within a large consolidation since last October forming a triangle. The pair recently approached the upper part of the formation resulting in a pullback. 

April low of 81.60 is an important support. In case this gets violated, there would be risk of a deeper down move towards projections of 80.50/80.10.  

A triangle denotes clear direction is lacking. The pattern has formed after an elongated up-trend. A move beyond the upper limit near 82.95 is essential to affirm resumption in up-move.