• USD/INR remains on the back foot for the second consecutive day.
• Hidden bearish divergence on RSI keeps pair sellers hopeful.
• Bulls need to overcome weekly horizontal region to retake control.

USD/INR sellers jostle with a short-term key support line around 76.45 during Tuesday’s Asian session.

In doing so, the Indian rupee (INR) pair justifies multiple failures to cross 76.75-80 horizontal area to print the second consecutive daily loss by the press time.

Other than the pullbacks from weekly resistance, hidden bearish RSI divergence also favor USD/INR sellers. The stated bearish RSI divergence occurs when prices make higher lows but the RSI fails to track the run-up, which in turn hints at traders’ disinterest in long positions.

That said, an upward sloping support line from late February limits the immediate downside of USD/INR around 76.43.

In a case where the quote remains bearish past 76.43, the 100-SMA and 200-SMA, respectively near 75.85 and 75.40, will be in focus.

Alternatively, an upside clearance of the aforementioned horizontal resistance area near 76.75-80 will trigger fresh advances targeting the 77.00 threshold.

It’s worth noting that the USD/INR run-up beyond 77.00 won’t hesitate to refresh the record high, currently around 77.17.

USD/INR: Four-hour chart

Trend: Further weakness expected