Trade and WIN FXGiants | EconAlerts

EUR/SEK remains bullish despite retreat from 8-year high.

EUR/SEK has advanced considerably after hitting a four-month low of 9.7435 on January 31, eventually recording an eight-year high of 10.2442 last week.

The pair has since lost some ground from March 7’s multi-year peak, with the retreat possibly coming on the back of an overstretched market – the Chikou Span seems to support this view. Still, the decline was unable to alter the short-term positive bias, with the Tenkan- and Kijun-sen lines remaining positively aligned.

Price advancing might meet a barrier around the current level of the Tenkan-sen at 10.1880, with stronger bullish movement turning the attention to last week’s eight-year high of 10.2442.

In case of declines, support could come around the 23.6% Fibonacci retracement level of the January 31 to March 7 up-leg at 10.1255. Further declines, which are likely to shift the near-term momentum to the downside, might meet support around the 38.2% Fibonacci mark at 10.0522. The range around this point also includes the Kijun-sen at 10.0571, as well as a previous top at 10.0313.

EUR/SEK’s medium-term picture is bullish: price action is taking place above the Ichimoku cloud, as well as above the 50- and 100-day moving average lines, with both lines maintaining a positive slope. The bullish (golden) cross that was recorded in November when the 50-day MA moved above the 100-day one remains in place as well.

Overall, both the short- and medium-term outlooks are looking positive at the moment.

EUR/SEK 14/03/2018 | EconAlerts


All trading involves risk. It is possible to lose all your capital


This information is not considered as investment advice or investment recommendation but instead a marketing communication. This material has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and that it is not subject to any prohibition on dealing ahead of the dissemination of investment research.

source: XM

Leave a Reply

Your email address will not be published. Required fields are marked *