USD/INR Price Analysis: Indian rupee retreats from 50% Fibo. but buyers stay hopeful

• USD/INR struggles to extend the bounce off weekly low, consolidates biggest daily loss in two weeks.
• Bearish MACD signals, multiple hurdles to the north signal challenges for buyers.
• Monthly support line, 200-SMA act as strong support.

USD/INR fades corrective pullback from short-term key support above 75.00 during Wednesday's Asian session. That said, the Indian rupee (INR) pair retreats to 75.25 by the press time.

In addition to the failure to keep rebound from the weekly bottom, also comprising the 50% Fibonacci retracement (Fibo.) of the December-January downturn, bearish MACD signals also hint at the quote’s another attempt to break the stated crucial support near 75.15.

Following that, an upward sloping trend line from January 12, near 74.90, as well as the 200-SMA level of 74.62, will challenge the USD/INR sellers.

In a case where the pair remains bearish past 74.62, December 2021 bottom surrounding 74.10 may entertain the bears ahead of January 2022 low close to 73.70.

Meanwhile, January’s top of 75.35 and the 61.8% Fibo. around 75.50 restrict short-term upside momentum of the USD/INR prices.

Also acting as an upside hurdle is the monthly top near 75.70 and the 76.00 threshold.

To sum up, USD/INR bears can ignore the latest rebound of the pair prices.

USD/INR: Four-hour chart

Trend: Further weakness expected