FxWirePro: Indian rupee strengthens against U.S. dollar, downside limited

• USD/INR is currently trading around 71.61 marks.
   
• It made intraday high at 71.81 and low at 71.55 marks.
   
• Intraday bias remains slightly bearish till the time pair holds key resistance at 72.05 mark.
   
• Key resistances are seen at 71.81, 72.05, 72.17, 72.42, 72.68 and 72.89 marks respectively.

• On the other side, initial supports are seen at 71.49, 71.22, 70.92, 70.74, 70.47, 70.32, 70.10, 69.76 and 69.48 marks respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads up and confirms the bullish trend in a daily chart. Current downside movement is short term trend correction only.
   
• India’s NSE was trading 0.50 pct higher at 11,930.40 points and BSE sensex points 0.54 pct higher at 40,503.27 points.

We prefer to take short position on USD/INR around 71.70, stop loss 71.90 and target of 71.49/71.22.