EURNOK trade ideas
forexTrdr EURNOK- NOK THAT PAIR BACK DOWN FROM EXTREME LEVELSMorning traders,
This morning we have had the Swedish central bank come out and delay interest rate rises with market now pricing no rise until early 2020 (from mid 2019). This has had a secondary effect on the Norwegian Krona leading to a 700 pips drop versus the Euro. We are looking to capitalise on this move into extreme overbought territory and looking for a pull back into the previous trading range of 9.55 to 9.60.
The spike bounced off of resistance levels dating back to early 2019 and forming a descending trendline from previous high levels in April and early February as shown in our Trading View charts.
Simple clean trade on event driven news.
As always this is not a trade recommendation and simply technical observation.
Good luck trading
from the Team at forexTrdr
find us on instagram, twitter and Alexa flash briefings
EURNOK - short on economic surprise differentialFundamentals:
-EU: eco slowdown continues, underpinned by ECB
-NOR: inflation picking up, central bank will further hike this year -> carry trade
-NOK gained even under risk-off sentiment
-CitiBank Eco Surprise Index (1mo) differential: -53.9 vs +53.6 in favor of NOK
EURNOK - 240 - Just a quick ideaThis is a short-term idea, which could potentially work out.
Only on a break of the 9.7880 that we will start looking further north. Also, in addition to the break, we would like to see a daily candle closing above that 9.7880 barrier, so that it could attract more buyers.
Please see the chart for details and the alternative scenario.
Don't forget your stop-loss.