USD/INR is a great technical traders market on the Daily Chart above…but first let’s look at what happened after my last report. Last time I wrote ‘I’ve moved the bullet point above into mildly bullish but I am prepared to move further into full bullish – the reason is simply that after a period of a strongly bullish Long MA and mixed other MAs, the others seem to have sorted themselves out with TWO Golden Crosses – Short over Medium (sort of expected) but also the Short/Medium up over the Medium!
Additionally, we now have THREE consecutive closes over the Middle Tine of the Sep 2014 – Jan 2015 Schiff Pitchfork, the first time we have had this in its duration whilst at the same time attempting to have consecutive closes over the key 2013 – 2014 50% Fib at 63.53 AND looking to test the 2014 high at 63.88.’.
We definitely had a try higher and this is where I say why it is a great tech traders market on the Daily Chart above…all these patterns worked…6th Key Reversal Up, 8th Bearish Harami, 11th Bullish Thrusting, 13th Bearish Harami, 15th Bullish Harami, 20th Bearish Dark Cloud Cover pattern, 26th big Bullish Harami & a possible KR Up, 27th Dark Cloud Cover Pattern. All these worked on at least the following day.
So where now?
Well, with all MAs now pointing upwards I have moved the bullet point above to full bullish. Support is key at the 50% Fib at 63.53 and then at basically ten tic increments until 63.30. After that we have significant combined Fib & Short/Medium MA (dynamic) support at 63.03 – 63.01 and after that we have the 50% Fib at 62.82 & the Medium MA at 62.57 which will put us into neutral if we have two consecutive closes below. Topside is simpler, still 63.88 but now also 64.16, 64.38 & the next meaningful Fib at 64.78. Finally, I ought to point out that on the Weekly Chart during the week of the 15th of May we had a KR Down…that failed!
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