FxWirePro: USD/NOK struggles to break above 9.1200, good to sell on rallies
The Norwegian Krone slumped to a record trough following the release of downbeat household consumption figures. Norway's household consumption of goods declined 1.8 percent month-over-month in July, following an upwardly…
The Norwegian Krone slumped to a record trough following the release of downbeat household consumption figures.
Norway's household consumption of goods declined 1.8 percent month-over-month in July, following an upwardly revised 1.4 percent rise in the previous month
However, the downside in the Norwegian currency appears limited as retail sales increased 0.8 percent in July over the previous month.
USD/NOK trades up at 9.0884, having touched an all-time high of 9.1198 earlier.
The overall trend is slightly bullish, with RSI strong at 70.15 and MACD supports uptrend.
Stochs indicate a bearish crossover and are likely to rollover from overbought levels, a minor dip expected.
Immediate resistance is around 9.1300 and any violation above could see a reversal in trend.
On the downside, support is located at 9.0175 (7-EMA) and any break below could test 8.9572 (21-DMA).
Recommendation: Good to sell on rallies around 9.1050, with stop loss at 9.1200 and target price of 9.0175.