EURNOK trade ideas
EUR/NOK long term shortThe pair is at historical highs with RSI showing bearish divergence.
EUR/NOK is also forming a bearish triangle which will initiate the long term downtrend.
EUR area is looking to cut interest rates or prolong the QE program. NOK has (the biggest?) sovereign wealthfund which will prove useful if Norway needs fiscal stimulus.
short EUR/NOK also provides a carry. Therefor this is a small carry trade, not like EUR/TRY.
SHORT VISION ON EUR/NOK FULLY EXPLAINED4H CHART EXPLANATION:
In the short term, we observe a Descending Wedge Pattern being formed by the last downtrend. Now we are waiting for a pullback towards the Confluence Zone between the Top of the Wedge Pattern and the Broken Ascending Trendline, and after that a bounce to continue the downside move. This is the short term vision, the mid and long term are explained below on the Daily and Weekly Timeframes.
MULTI TIMEFRAME VISION:
-Daily:
-Weekly:
EURNOK - 240 - Short-term ideaTrade idea
This is a quick shout-out for EURNOK. But only on a break of the highlighted area!
After finding good support near the 9.58 zone, the pair rebounded and seems to be trying to make its way back up, to test the downside resistance line.
Please see the chart for levels, targets and the alternative scenario.
Don't forget your stop-loss.