FxWirePro: USD/DKK extends rally, faces resistance at 200-DMA
The Danish Krone plunged, hovering towards a near 2-week trough hit in the prior session. The greenback surged after the New York Federal Reserve said it would make the money available in three tranches of $500 billion e…
The Danish Krone plunged, hovering towards a near 2-week trough hit in the prior session.
The greenback surged after the New York Federal Reserve said it would make the money available in three tranches of $500 billion each and that it would start purchasing a broader range of U.S. Treasury securities.
USD/DKK is trading 0.1 percent up at 6.6905, having hit high of 6.7599 on Thursday, its highest since March 2.
Momentum indicators are turning bullish on hourly charts - RSI strong at 69 and Stochs are biased higher.
Immediate resistance is located at 6.7281 (200-DMA) / 6.7348, close above could take it till 6.7550.
On the downside, support is seen at 6.6426, and any break below will take it till 6.6155 (5-DMA).
Recommendation: Good to buy on dips around 6.6820, with stop loss of 6.6541 and target price of 6.7348.
