USDNOKOn the monthly charts we have a confirmed bearish trend with a bullish correction in play.
On the weekly charts we have a shift in order flow confirming our bearish bias though its a long term view. We have an impulsive bearish move that has necessitated a bullish correction to clear previous disequilibrium.
The break in daily structure confirms shift in order flow from bullish to bearish. Presently we are bearish, in consonance with our monthly and weekly view.
Usdnoksell
USDNOK Sell Opportunity: Anticipating Downside PotentialPair: USDNOK
Entry: 10.46195
Stop Loss: 10.67581 (above fair value gap)
Take Profit: 9.69620
Risk-to-Reward: 3.63
Strategy: Selling USDNOK as a short opportunity.
Explanation:
The decision to sell USDNOK is based on the anticipation of a potential decline in the exchange rate. Here are a few reasons why this is considered a short opportunity:
Fair Value Gap: Placing the stop loss just above the fair value gap suggests that the price is near a level that is considered fair based on market analysis. This indicates a potential resistance area where sellers could take control.
Technical Analysis: Additional technical analysis might indicate bearish signals, such as a breakdown of key support levels, bearish chart patterns, or negative momentum indicators. Traders may use these technical factors to support their short position.
Fundamental Factors: Fundamental factors specific to the USDNOK pair, such as economic data, geopolitical events, or monetary policy decisions, might suggest a negative outlook for the US Dollar and/or a positive outlook for the Norwegian Krone. These factors could influence market sentiment and potentially drive the exchange rate lower.
Risk-to-Reward Ratio: The risk-to-reward ratio of 3.63 suggests that the potential reward outweighs the potential risk. This means that the potential profit from the trade is 3.63 times the potential loss. Traders often look for opportunities with favorable risk-to-reward ratios to ensure that potential profits justify the risk involved.
Remember, it is essential to conduct thorough analysis and consider multiple factors before entering a trade. This explanation provides a general overview but should not be considered as financial advice.
BEARISH OUTLOOK FOR USDNOKUSDNOK Formed a double top structure on the daily timeframe and from there we saw a breakout of the neckline and yesterday the price retested the neckline. The daily candle close was a pinbar showing bears attempt to push the price lower. All this gave reasons to go short.
What is your opinion on USDNOK?
USDNOK – bearish continuation …31 May, 2021There is a history of ranging before breaking down in this pair. See how it was ranging between 8.6450 and 8.3800 for several weeks before it broke below. Now we have something similar and despite multiple attempts during the past 6 weeks, this pair has been unable to close above 8.3800. This pair has clearly been on a strong bearish trend since Nov. and I don’t have any reason to think that this will change any time soon.
I am looking to find an entry at/close to 8.3800 with my stop above the recent high. My target will be above the next s/r level located at 8.1800. If this plays out the way I am anticipating, this could be a nice +2.50R opportunity.
As always, watching the price action on a lower time frame before committing to a trade is advisable.
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Always use sound money and risk management in all your trades.
USD/NOK - SELL UPDATEThe Norwegian Kroner continues to strengthen against the U.S Dollar.
Higher Crude Oil prices are increasing the demand for the commodity-linked Norwegian Krone.
The Dollar is weaker due to lower interest rates and the negative balance in the U.S Current account.
In the video we look at selling the exchange rate, with take profit targets, stop loss, and entry price analysis.
USDNOK potential reversal!
USDNOK expected to rise up to 1st resistance at 9.03979 where it could potentially react off and drop down to 1st support at 8.93861.
*Disclaimer.*
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