#USDINR @ 82.1810 is facing barricades in extending its rally above 82.30. (Pivot Orderbook analysis)

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• USD/INR is facing barricades in extending its rally above 82.30.
• Investors are anticipating that Fed’s battle against stubborn US inflation will continue as it is extremely far from desired levels.
• The Indian Rupee has failed to capitalize on declining oil prices.

The pair currently trades last at 82.1810.

The previous day high was 82.3059 while the previous day low was 82.0655. The daily 38.2% Fib levels comes at 82.214, expected to provide resistance. Similarly, the daily 61.8% fib level is at 82.1573, expected to provide support.

The USD/INR pair is struggling to surpass the immediate resistance of 82.30 in the Asian session. The major has shown a one-sided firmer rally this week in hopes that the rate-hiking cycle by the Federal Reserve (Fed) is not concluded yet. The asset would continue its four-day winning streak if it manages to sustain above Wednesday’s high at 82.30.

S&P500 futures are displaying a poor show in the Asian session. The 500-US stock basket futures have registered significant losses, discounting the impact of the late release of Netflix earnings. Entertainment stock missed revenue despite adding more subscribers and is worried about over password-sharing act. Investors are turning risk averse as major giants Goldman Sachs, Johnson & Johnson, and Netflix have failed to cheer market participants.

The US Dollar Index (DXY) is displaying a subdued performance in the Tokyo session. The USD Index is bounded in a narrow range of 101.93-102.04 amid an absence of a potential trigger. Investors are anticipating that Fed’s battle against stubborn United States inflation will continue as price pressures are extremely far from desired levels.

A Reuters poll on Fed’s interest rate guidance conveys that Fed chair Jerome Powell will deliver a final 25-basis-point interest rate increase in May and then hold rates steady for the rest of 2023.

The Fed is expected to arrest inflation sooner than previously anticipated as Fed’s Beige Book has confirmed that disbursement of loans and advances from US commercial banks to businesses and consumers have dropped due to tight conditions to maintain asset quality.

On the Indian Rupee front, investors are awaiting the release of Bank Loan Growth and FX reserves data, which will release on Friday. Meanwhile, oil prices have dropped sharply as more rate hikes from the Fed will trigger a recession ahead. The Indian Rupee has failed to capitalize on weak oil prices.

It is worth noting that India is one of the leading importers of oil in the world and lower oil prices might support the Indian Rupee.

Technical Levels: Supports and Resistances

USDINR currently trading at 82.2408 at the time of writing. Pair opened at 82.2993 and is trading with a change of -0.07 % .

The pair is trading above its 20 Daily moving average @ 82.0674, below its 50 Daily moving average @ 82.3244 , above its 100 Daily moving average @ 82.2373 and above its 200 Daily moving average @ 81.5026

The previous day high was 82.3059 while the previous day low was 82.0655. The daily 38.2% Fib levels comes at 82.214, expected to provide resistance. Similarly, the daily 61.8% fib level is at 82.1573, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 82.1412, 81.9832, 81.9009
• Pivot resistance is noted at 82.3816, 82.4639, 82.622

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