INRUSD finds buyers again around 0.013103
Indian Rupee/US Dollar (INRUSD) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, INRUSD ended Thursday at 0.013344 surging 162 pips (1.23%) on high volume. This is the biggest single-day gain in over a year. The last time we've seen such an unusually strong single-day gain on March 10th, INRUSD actually lost -0.73% on the following trading day. Closing above Wednesday's high at 0.013197, the market confirmed its breakout through the prior session high after trading up to 160 pips above it intraday.
Daily Candlestick Chart (INRUSD as at Mar 26, 2020):
Thursday's trading range has been 254 pips (1.93%), that's slightly above the last trading month's daily average range of 202 pips. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for INRUSD.
One bullish candlestick pattern matches today's price action, the White Candle.
Prices are trading close to the key technical resistance level at 0.013373 (R1). After having been unable to move lower than 0.013082 in the previous session, INR/USD found buyers again around the same price level today at 0.013103.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed above last periods high" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for INR/USD. Out of 583 times, INRUSD closed lower 52.66% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 56.26% with an average market move of -0.19%.