A confluence of FPI inflows and a reversal in the US Dollar Index from an upward trajectory to a downward one has facilitated the strengthening of the Rupee against the US Dollar. India’s manufacturing PMI surged from 57.2 in April to 58.7, marking the highest reading in 31 months. This presents an interesting contrast to the state of the manufacturing sector worldwide, where PMI surveys indicate ongoing struggles. The Indian economy continues to outshine with commendable performance, which likely contributes to the steady influx of FPI inflows. The PMI data also revealed that new orders expanded at the most rapid pace since January 2021, while foreign demand experienced its fastest growth rate in six months. USDINR futures are anticipated to commence trading around 82.34/36 levels, displaying a negative bias. Key support levels lie near 82.30 and 82.10/15. Conversely, resistance levels are positioned near 82.50 and 82.65. Over the course of the past nine months, we have observed the central bank intervening to accumulate dollars whenever the exchange rate dipped below the 82.00 thresholds. Therefore, if the spot were to fall below the 82.00 handles, caution is warranted in relation to short positions.
USD INR Gann Angle Chart
The price continues to get support from 82.50-82.25 range, Heading towards 83 till holding 82.25.
USD INR Plannetary Support and Resistance Line
Indain Rupee is above Venus Plannetary line heading towards 83/83.25
USD INR Harmonic
Price is heading towards 81.5 to complete GARTLEY pattern.