- USD/INR held steady above the 74.00 mark through the mid-European session on Thursday.
- The set-up seems tilted in favour of bullish traders and support prospects for additional gains.
The Indian rupee (INR) remained on the defensive against its American counterpart and helped the USD/INR pair to hold steady above the 74.00 mark, closer to record highs.
Given the recent break through a six-month-old trading range, the near-term set-up remains tilted in favour of bullish traders and support prospects for additional gains.
However, slightly overbought conditions on the daily chart held investors from placing fresh bullish bets and led to a consolidative price action since the beginning of the week.
Hence, it will be prudent to wait for a sustained strength above the key 75.00 psychological mark before positioning for any further near-term appreciating move.
On the flip side, any meaningful pullback below the 74.00 mark might continue to attract some dip-buying and help limit the downside near the 73.50-40 horizontal support.
USD/INR daily chart
Technical levels to watch