We now come to the present. The reversal in the USD/INR pair, as well as the Dollar Index, has created a new rising template for the Nifty and it seems to have grabbed the opportunity with both hands. The fall in the USD/INR pair appears to be sharper compared to that of the Dollar Index. The price of the USD/INR pair is back inside the consolidation rectangle while the Dollar Index still rests on top of a similar rectangle.
At the start of this article, I had mentioned that the reason for the two-day consolidation of the Nifty would become apparent with the inter-market analysis. The final chart shows the most recent price action of the USD/INR pair.