• USD/INR picks up bids to reverse the previous day’s pullback from monthly high.
• Seven-week-old descending trend line, bearish MACD signals tease sellers.
• Sustained trading beyond 200-SMA keeps buyers hopeful of witnessing fresh record top.

USD/INR remains firmer around a one-month high as it jostles with a short-term key resistance line near 82.65 during early Thursday.

The Indian Rupee (INR) pair rose to the highest levels in a month the previous day before reversing from 82.77. In doing so, the USD/INR pair retreated from a downward-sloping resistance line from October 19 following the Reserve Bank of India’s (RBI) interest rate hike.

It’s worth noting that the failure to cross the aforementioned resistance line joins the recently bearish MACD signals to tease USD/INR sellers.

However, successful trading beyond the 200-SMA level, around 81.80 by the press time, keeps the pair buyers hopeful.

As a result, the quote is likely to remain firmer but the further upside needs validation from the previously mentioned resistance line near 82.65.

Following that, a run-up towards the all-time high marked in October around 83.45 can’t be ruled out.

Meanwhile, a downside break of the 200-SMA could welcome the USD/INR bears. That said, the late November swing high around the 82.00 round figure also restricts short-term declines of the pair.

In a case where USD/INR remains bearish past 82.00, the odds of witnessing a slump towards the monthly low are around 81.00 and then towards the late November swing low of 80.37.

USD/INR: Four-hour chart

Trend: Further upside expected