FxWirePro: USD/NOK fails to sustain gains above 9.3000, dip till 9.2144 likely
The Norwegian Krone rebounded from all-time lows, following the release of better-than-expected inflation figures. Norway's annual inflation rate increased to 1.8 percent in January from 1.4 percent in the previous month…
The Norwegian Krone rebounded from all-time lows, following the release of better-than-expected inflation figures.
Norway's annual inflation rate increased to 1.8 percent in January from 1.4 percent in the previous month, surpassing expectations of 1.2 percent.
While, core inflation stood at 2.9 percent year-on-year, up from 1.8 percent in December.
USD/NOK trades 0.5 percent lower at 9.2492, having touched a record high of 9.3057 earlier.
Momentum indicators are turning bearish: RSI weak at 42.39, Stochs are biased lower and MACD supports downside.
Investors now await Norway central bank governor Oeystein Olsen's speech this week, in which he is expected to give a broad outline of the country's economic prospects.
Immediate resistance is located at 9.3080, and close above could take it till 9.3132.
On the downside, support is around 9.2144 (7-EMA), break below could take it till 9.1976 (10-DMA).
Recommendation: Good to sell on rallies around 9.2890, with stop loss at 9.3080 and target price of 9.2144.
