EURINR is on short term recovery path after giving breakout from Head & Shoulder pattern. Falling trend line suggests upside is capped at 78.90-79 region. 5 DEMA is still below 13 DEMA .Today's close above 78.20-78.25 may turn it upward. As long as 80.40 (38.2% retracement of entire fall) holds on daily closing basis, we can expect pair to pursue H&S target of 72. What does that indicate? EUR can go weak in international market OR INR can get strong over a period of time.
Trade active:
As expected EURINR, moved up and touch 79.50. It should reverse from here if it is a H&S pattern. Mini stop loss for short would be 80.50 on daily closing basis. CMP 79.30
Trade active:
As expected pair reversed from 79.50 and now trading at 78.50. Sentiment is bearish till the time 80.50 is protected on closing basis
Trade active:
Now trading at 77.54.