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  • USD/IDR drops 0.20% even as Indonesian Inflation data marked contrasting signals in September.
  • Broad US dollar weakness, risk-on mood seems to favor the Asian currency.
  • Immediate falling trend line, downside break of 200-HMA keep sellers hopeful.
  • Buyers may refrain from entries unless crossing weekly resistance line.

USD/IDR drops to 14,865, down 0.20% intraday, during the pre-European session on Thursday. The pair recently ignored mixed Indonesian Inflation numbers for September while defying the previous day’s positive performance.

Indonesia’s headline Inflation dropped below -0.01% MoM to reprint -0.05% figures whereas the YoY numbers cross 1.32% prior while matching 1.42% market consensus. Further, the Core Inflation declines below 2.03% previous readouts and 2.0% forecasts to 1.86% in September.

With the pair’s sustained break of 200-HMA, the weekly support line near 14,824 seems to lure the sellers ahead of the 61.8% Fibonacci retracement of September 21-24 upside, at 14,784.

Alternatively, 200-HMA and the adjacent falling trend line highlight 14,875/80 as nearby key resistance ahead of a falling trend line from last Thursday, at 14,950 now.

In a case where the bulls conquer 14,950, they need a successful ride over the 15,000 threshold to challenge the previous month’s high near 15,140.

USD/IDR hourly chart

Trend: Bearish