FxWirePro: USD/DKK plunges to near 2-year low, outlook remains bearish
The Danish Krone slumped to a near 2 year peak earlier in the session following upbeat economic data. Denmark's retail sales rose by 6.6 percent year-on-year in June, following a downwardly revised 5.2 percent gain in th…
The Danish Krone slumped to a near 2 year peak earlier in the session following upbeat economic data.
Denmark's retail sales rose by 6.6 percent year-on-year in June, following a downwardly revised 5.2 percent gain in the previous month, its second straight month of increases and the biggest since February of 2008. However, on a monthly basis, retail sales surged 1.4 percent, easing from an upwardly revised 9.7 percent jump in May.
Moreover, weakness in the greenback supported the bid tone around the Danish currency.
The dollar index declined to an over 4-month low, weakened by deteriorating U.S.-China relations and domestic economic concerns as U.S. COVID-19 infections showed no sign of slowing.
USD/DKK is trading 0.3 down at 6.3623, having hit low of 6.3483 earlier, its lowest since September 2018.
Immediate resistance is located at 6.4103, close above could take it till 6.4384 (5-DMA).
On the downside, support is seen at 6.3353 and any break below will take it till 6.3137.
