- The Danish Krone retreated from a 1-1/2 week trough on better-than-expected retail sales figures.
- Denmark's retail sales increased by 1.2 percent year-on-year in October, following a downwardly revised 0.1 percent rise in the previous month.
- However, the rebound in the Danish currency appears limited as on monthly basis retail sales declined 0.3 percent in October from 0.1 percent recorded in September.
- USD/DKK is currently trading down at 6.7812, having hit high of 6.7901 on Monday, its highest since November 14.
- Momentum indicators are bearish on hourly charts - RSI weak at 47.44, MACD supports downside and Stochs are biased lower.
- Immediate resistance is located at 6.7945, close above could take it till 6.7993
. - On the downside, support is seen at 6.7759, and any break below will take it till 6.7685 (10-DMA).
Recommendation: Good to sell on rallies around 6.7835, with stop loss of 6.7945, and target price of 6.7685
