FxWirePro: USD/NOK retreats from near 2-month peak, faces resistance at 21-DMA
The Norwegian Krone rose after tumbling to a near 2-week trough earlier in the session as the greenback retreated against a basket of currencies and as oil prices bounced back. Earlier in the day, the Norwegian currency …
The Norwegian Krone rose after tumbling to a near 2-week trough earlier in the session as the greenback retreated against a basket of currencies and as oil prices bounced back.
Earlier in the day, the Norwegian currency weakened as crude oil prices tumbled to a 2-week low, fuelled by renewed concerns about demand and as crude inventories hit a record in the United States. However, the currency recovered as the oil prices rebounded from recent lows.
International benchmark Brent crude was trading 1.4 percent higher at $38.83 per barrel by 0952 GMT, having hit a low of $37.03 earlier, its lowest since May 29. U.S. West Texas Intermediate was trading 1.3 percent up at $36.58 a barrel, after falling as low as $34.53 earlier, its lowest since June 1.
USD/NOK trades 0.5 percent down at 9.5532, having touched a high of 9.6901 earlier, its highest June 1.
On Thursday, the pair broke above major resistance at 200-DMA to close 3.35 percent up at 9.5981.
200-DMA is now acting as minor support.
Immediate resistance is located at 9.7182 (21-DMA), close above could take it till 9.7801.
On the downside, support is around 9.4825 (200-DMA),.break below could take it till 9.4364 (10-DMA).
