Speculators who trade the USD/PKR have enjoyed a solid bearish trend and the train ride continues to indicate an ability to continue its path. The 158.5000 level has now been broken lower and the forex pair is sustaining bearish momentum without over-exuberance. Traders who have not considered the USD/PKR before but have been monitoring its bearish trend may be growing ready to participate and take positions too.
The USD/PKR remains an adventure-filled forex pair because of its lack of full fundamental knowledge which remains difficult to access. However, technical traders can take comfort in the fact that charts which provide support and resistance levels may be enough to engage as long as solid risk-taking techniques are used. Speculators need to use limit orders when trading the USD/PKR because of the tendency for price fills to prove unattractive. Unless a trader can get their broker directly on the telephone and get a live market price and fill, traders are strongly advised to simply use a limit order with a mandated price to activate a position.
Speculators of the USD/PKR also should acknowledge that the price of the forex pair remains outside the normal scope of global market sentiment. Certainly, Pakistan is an active and important member of the global community, but the Pakistani rupee is not among the largest or most actively traded currencies, meaning its volume remains low and spikes in value are not a mere threat.
However, the price action of the USD/PKR has turned in a significant trend the past couple of months and its ability to not produce violent surges is noteworthy. The bearish trend of the USD/PKR is challenging late March values and if current support levels are punctured lower, the Pakistani rupee could put in a serious attempt to target mid-March values near the 156.5000 level eventually. Having written this, it must be noted that without hard facts about financial transactions taking place within the Pakistani government and commerce being conducted, this price prediction is merely conjecture based on technical charts.
Speculators who are fans of the USD/PKR should continue to ride the trend of the forex pair. Traders should also know if profits have been made, that it is worthwhile to close winning positions and not be too greedy if they have been lucky enough to ride the downward momentum of the USD/PKR.
Pakistani Rupee Short Term Outlook:
Current Resistance: 159.0000
Current Support: 158.0500
High Target: 159.4600
Low Target: 157.5800
