FxWirePro: USD/NOK breaks below 200-DMA, outlook remains bearish
The Norwegian Krone surged to a near 3-month peak following the release of better-than-expected current account figures. Norway's current account surplus rose to NOK 66.08 billion in the first quarter of 2020 from NOK 25…
The Norwegian Krone surged to a near 3-month peak following the release of better-than-expected current account figures.
Norway's current account surplus rose to NOK 66.08 billion in the first quarter of 2020 from NOK 25.1 billion in the previous quarter, surpassing forecast of NOK 50.7 billion.
Additionally, a rise in the crude oil prices and weakness in the greenback supported the Norwegian currency.
Crude oil prices rallied to multi-month highs, bolstered by lower U.S. inventories and expectations OPEC+ will keep oil output cuts in place.
USD/NOK trades 0.4 percent down at 9.4972, having touched a low of 9.4595 earlier, its lowest March 10.
The pair broke below major support 200-DMA but retraced to trade around the 9.5000 handle.
Immediate resistance is located at 9.6086, close above could take it till 9.6237.
On the downside, support is around 9.4396 break below could take it till 9.4126.
