Indian Rupee Could Decline Further Versus Dollar

Indian Rupee is on a declining streak against the US Dollar and the Euro. USD to INR climbed above the 67.00 resistance and it could continue to rise towards the 68.00 level in the near term.

The last few weeks were pretty bearish on the Indian Rupee after a base was formed in USD/INR around the $63.00 support. A low was formed at 63.12 before the price started climbing higher.

The US Dollar is following a bullish path against other major currencies as well such as the Euro, British Pound and the Japanese Yen. Therefore, the current rise in USD/INR is more to do with the US Dollar strength and less with the Indian Rupee decline.

USD to INR Analysis and Forecast

Looking at the weekly chart of USD to INR, there was a solid start of an upside move from the 63.12 low. The pair climbed above the 50 percent Fib retracement level of the last drop from the 68.79 high to 63.12 low.

More importantly, Indian rupee was under a lot of pressure and the price moved above the 100-week simple moving average. It opened the gates for more gains and the price moved above a crucial bearish trend line with resistance at 67.30 on the weekly chart.

The price moved above the 61.8 percent Fib retracement level of the last drop from the 68.79 high to 63.12 low. This indicates that the price could continue to accelerate higher and it could even test the last swing high of 68.79.

On the upside, the main hurdles for more gains in USD/INR is near the 69.00 and 70.00 levels. A break and close above the 70.00 level won’t be easy. On the downside, if Indian rupee corrects and USD/INR moves down, an immediate support is at 66.80.

Below the mentioned 66.80 support, Indian rupee may find sellers near the 66.00 and 65.50 levels. Overall, the trend is bearish for INR and it could accelerate declines in the near term.

In the cryptocurrencies arena, bitcoin price is stable above $8,500 and it could rise in the near term. Moreover, ripple price is gaining and looks set for a break above $0.7600.

Other altcoins such as ICX, WAN, GNT, REP, OMG, Pundi X, WTC and ADA are the ones to watch out during the following sessions.