- The Swedish Krona surged, hovering towards a 2-1/2 week peak recorded in the previous session following better-than-expected service PMI reading.
- Sweden's services PMI increased to a seasonally adjusted 56.7 in February from an upwardly revised 53.2 in the previous month, indicating the second straight month of expansion in the service sector and the highest reading since November 2018.
- Moreover, investors continued to digest yesterday's upbeat manufacturing PMI.
- EUR/SEK trades 0.2 percent down at 10.5450, having hit a low of 10.4847 on Tuesday, its lowest since February 14.
- Technical indicators are bearish: RSI weak at 47 and Stochs are biased lower.
- Immediate resistance is located at 10.5814 (7-EMA), any close above could take it near 10.5986.
- On the lower side, support is seen at 10.5315, break below could take it till 10.5242.
Recommendation: Good to sell on rallies around 10.5640, with stop loss of 10.5814 and target price at 10.5242.
