FxWirePro: Norwegian Krone extends gains as oil rebounds amid easing demand recovery concerns
Tuesday, October 20, 2020 11:57 AM UTC
- The Norwegian Krone nudged higher, extending previous session gains as crude oil prices rebounded from recent lows.
- Crude oil prices rose, halting a 3-day losing streak as concerns over recovery in fuel demand eased.
- International benchmark Brent crude was trading 0.4 percent up at $42.60 per barrel by 1150 GMT, having hit a high of $43.54 on Friday, its highest since September 18. U.S. West Texas Intermediate was trading 1.01 percent higher at $41.11 a barrel, after rising as high as $41.30 earlier, its highest since October 9.
- Moreover, a decline in the greenback against a basket of currencies supported the bid tone around the Norwegian currency.
- USD/NOK trades 0.1 percent lower at 9.2850, having touched a high of 9.4110 on Thursday, its highest since September 30.
- Immediate resistance is located at 9.3820, close above could take it till 9.4059.
- On the downside, support is around 9.2539 (20-EMA), break below could take it till 9.2375.