USD/INR Technical Analysis: Bull reversal confirmed, but 10-day MA is still trending south

• USD/INR confirmed a bullish hammer reversal pattern with 0.37% gains on Monday. 
• The 10-day MA is still trending south, indicating a bearish setup. 
• The pair may consolidate or see a minor pullback. 

USD/INR's daily chart is reporting a bullish reversal pattern, even so, the pair may have a tough time scaling 71.00, as a key average is still trending south. 

The pair closed Monday with 0.37% gains at 70.91, validating Friday's big bullish inverted hammer candle. 

That candlestick pattern indicates the path of least resistance is to the higher side. 

However, the 10-day average is still trending south, indicating a bearish setup and a failure to hold above that technical line at 70.89 will likely yield a drop to 70.70. 

That said, the bullish hammer reversal pattern will be invalidated only if the pair drops below Monday's low of 71.03. 

Daily chart

Trend: Minor drop likely

Technical levels