We have a trade setting up.
The price action of last three days shows resumption of uptrend. Yesterday's price action was somewhat confusing and needed caution. But with today's price action closing above high price of yesterday, the concerns are ruled out.
The direction to trade now is to be long. The entry point for this long trade is as soon as the price goes above the high-price of today's price action. This means we shall not be buying the USDINR pair at the price where it is, but we will place our buy order above the high price of today and then wait for the market to come to us. This also means that the entry would not be triggered if the price were to retrace temporarily downwards in the coming couple of session(which I see to be fairly possible).
Summarily, a trade has setup. Entry conditions are as above.
Please bear in mind that the August contract is only few days away from expiry and the September contracts are trading at a small premium. The price action described above in this post related to that of the August contract.
The price action of last three days shows resumption of uptrend. Yesterday's price action was somewhat confusing and needed caution. But with today's price action closing above high price of yesterday, the concerns are ruled out.
The direction to trade now is to be long. The entry point for this long trade is as soon as the price goes above the high-price of today's price action. This means we shall not be buying the USDINR pair at the price where it is, but we will place our buy order above the high price of today and then wait for the market to come to us. This also means that the entry would not be triggered if the price were to retrace temporarily downwards in the coming couple of session(which I see to be fairly possible).
Summarily, a trade has setup. Entry conditions are as above.
Please bear in mind that the August contract is only few days away from expiry and the September contracts are trading at a small premium. The price action described above in this post related to that of the August contract.