The Danish krone is currently flirting with an important support level
for the EUR/DKK trading pair. It’s widely believed that the pair will go down to that lower support level
by the latter part of the month as the Danish krone continues to appreciate. The pair is significantly bearish
, considering that the 200-day
moving average is significantly higher than the 50-day moving average. And looking at the performance of the euro
, it looks like it’s starting to show signs of exhaustion against the Danish krone. Bullish
investors of the pair continuously struggle to buoy the exchange rate and every time the pair goes up, the Danish krone immediately regains those gains. Bearish
investors are supported by the reopening of the Danish economy. In Denmark, the authorities plan to lift the set limit on public gathers to about 50 to 100 people by next month. Then to around 200 people by August as it gradually eases the pressure from the economy.