GBP/INR Analysis and Path Ahead
  • 15 March, 2024 Ruchit Thakur

GBP/INR Analysis and Path Ahead

Morning Report: The GBP/INR pair is trading at 105.50 on the daily chart. Will it rise further or fall ?

 

The GBP/INR is currently trading near the crucial resistance level of 106.00-106.50, which is subject to both significant supply and hard rejection, as previously discussed in our analysis. Following that, the pair closed below the resistance level and is currently trading between 105.50 and 105.70. GBP/INR has a broad supply zone ranging from 106.50 to 108.00. We discussed how GBP/INR might reach 103.50-104.00.

 

  • The GBP/INR exchange rate dropped as supply approached 106.50.
  • According to the chart, GBP/INR may face more negative pressure, with each advance signaling an opportunity to sell this pair.
  • The Relative Strength Index (RSI) does not indicate a quick increase in the GBP/INR price.

 

 

Please refer to the above chart. The GBP/INR slid from 106.50 to 104.00 as sellers dominated the market, pushing the price lower as it approached 106.50. This was caused by the currency pair's abundant availability. We forecast in our previous study that the GBP/INR would reach 103.50-104.00 during the downturn, which it achieved last month. We also anticipated a pullback from the 103.50-104.00 zone to the 106.50 zone, as it did last week, reaching the significant supply zone. However, this is merely a shorting opportunity because GBP/INR demand is low.

GBP/INR fell further after hitting key barrier at 106.50. As we noted in our most recent report, the GBP/INR was trading near 106.50, a resistance level. Negative divergence occurred when the price reached higher highs and the RSI sank to lower lows. This means that every increase creates an opportunity to sell the GBP/INR pair; continue shorting peaks and earning from dips before repeating the process. 

Further decreases resulted in a GBP/INR range of 103.50-104.00. According to the chart, the GBP/INR may experience additional negative volatility in the coming days, with each surge signifying a potential selling opportunity for the currency pair.

 


Please refer to the daily chart to determine the GBP/INR support and resistance levels. Every level is represented by a spot chart.

 

GBP/INR

Support

Resistance

Level 1

101.50

106.50

Level 2 

100.50

108.00