USD/INR Price Analysis: Key indicator reports strongest bearish bias since December

• USD/INR's momentum indicator shows a downward move is gathering pace. 
• Stochastic, too, shows a bearish bias and suggests scope for a notable pullback.

The path of least resistance for USD/INR appears to be on the downside, as a key indicator is reporting the strongest bearish bias since mid-December. 

The MACD histogram, a technical tool used to identify trend changes and trend strength, is printing a negative value of 0.1396, the lowest since Dec. 12. A crossover below zero represents bearish reversal and deeper bars below the zero line indicate a strengthening of the downward momentum. 

The MACD is printing a deeper bar for the third straight session. With the bearish momentum gathering pace, USD/INR risks falling 75.845 below (April 23 low). That would establish a lower highs, lower lows pattern, and confirm a bullish-to-bearish trend change on the daily chart. 

The slow stochastic oscillator is also reporting bearish conditions below a below-50 print. That said, the bearish bias would weaken if the spot finds acceptance above 76.4050 (April 24 high). 

Daily chart

Trend: Bearish

Technical levels