Important level coming up in USDNOK

Since the lows in february this year, the trend has been upwards with higher highs and higher lows. But recent top above 8,65 came with a negativ divergence and now we might face a possible trend-change. However, the level around 8,52-8,50 should be key for the next big move in USDNOK. Failure to hold this level, we will confirm a new counter trend with lower highs and lower lows.

The levels to watch for, as in bull/bear line is 8,52-8,50. On the upside we have great resistance just above 8,65, and while on the downside we should find great support 8,41-8,43.

Play it safe untill we see a better trade-setup, offering a better risk/reward.

Comment:

So far so good regarding the bull/bear line. The pair found support and have for now reacted towards the short term range around 8,58-8,60. Now it will be interesting to see how this pair reacts. Our experience with NOK and volatility (as in last couple of days with larger ranges than normal) is that we might see a possible trendchange, as in lower highs and lower lows. However, this requires that we don't go much higher than current high of today.

Still no good setup for time being, considering a fair risk/reward ratio.

Comment:

We will update shortly with a weekly chart, however the pair last week did a possible overshoot on the upside. This week will be important regarding the next move.

Play it safe!