Sell USDINR below 66.4; target of 64.8: Way2Wealth

Way2Wealth report on currenciesUSDINRIn the appended weekly chart we can see that priceshave violated the valid primary uptrend line formedby  joining  lows  of  May  2014  and  Jan  2015.  Prices concluded  the  week  below  the  trend  line  which  is threatening  for  primary  trend  reversal  from  bullishto bearish in the counter. Negative diversion visible in the weekly MACD coupled with double top chart isalso supporting bearish view in the counter. GBPINR Prices in the past week rebound sharply to end withbullish  candlestick  pattern  i.e. piercing. However,overall  price  structure  is  bearish  thus  we  suspect that  past  weeks  bounce  is  a  pullback  rather  than bullish reversal move.On the daily chart, prices are trading  in  an  expanding  triangle  chart  pattern  and the  falling  support  line  is  pegged  at  94  levels. Weekly MACD which is placed in negative zone and isdeclining  with  the  prices  is  indicating  for  further downside.EURINREURINR  has  retraced  around  50%  of  the  previous decline and this retracement is likely to get extend till the 61.8% which is also coinciding with a swing high of 76.54. The current up wave appears more of a  corrective  rather  than  impulse.  Thus,  we  expect that prices can turn their direction from up to down anywhere between 76-76.5 levels. Weekly MACD has rolled  over  to  the  sell  side  which  is  supporting  our bearish view. Currency : USDINRAction : Sell belowEntry : 66.4Target : 64.8Stop Loss : 67.1Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions

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