We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bearish
GBP/USD
Mixed
USD/JPY
Bullish
Gold
Bullish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Bitcoin
Bearish
More View more
Notice

DailyFX PLUS Content Now Available Freely to all DailyFX Users

Real Time News
  • Join @PaulRobinsonFX 's #webinar at 5:30 AM ET/9:30 AM GMT for insight on London #FX and #CFD trading. Register here: https://t.co/HmQ7tPOxXz https://t.co/Z5Jr7lRzPU
  • Missed today's #AUDUSD weekly outlook webinar? See the recording here - https://t.co/J4cnRMGNi8
  • Crude Oil Prices May Idle as the FOMC Regains the Spotlight - https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/commodities/2019/09/17/Crude-Oil-Prices-May-Idle-as-the-FOMC-Regains-the-Spotlight.html?utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #CrudeOil #OOTT
  • US Energy Secretary Perry says the US is taking a wait and see approach as to whether to use SPR
  • Lessons from Bretton Woods are forgotten, the US-China #tradewar represents a true existential threat to the post-World War II international trade order, and in turn, the globalized economy that has grown out of the ashes of history. More from @CVecchioFX :https://t.co/paaBxX6Xt0 https://t.co/TBxNcA745X
  • Another headache for the Riksbank as the Swedish labour market worsens - Unemployment rate 7.1% - Seasonal adjusted figure at 7.4% Notably above the Riksbank's forecast in its September monetary policy report $SEK https://t.co/5dhRRMvp2B
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.89%, while traders in France 40 are at opposite extremes with 80.28%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/MRpMVcygyC
  • Saudi Oil Minister press conference is set to take place from 18:15BST #OOTT
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Gold: -0.20% Silver: -0.34% Oil - US Crude: -0.97% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/SKWxoMbOFk
  • RT @LiveSquawk: 18:15 BST #OOTT https://t.co/uWBjXgfXlF
USDSEK, USDNOK Reach 17-Year Highs as Recession Fears Rise

USDSEK, USDNOK Reach 17-Year Highs as Recession Fears Rise

2019-08-20 03:30:00
Dimitri Zabelin, Junior Currency Analyst
Share:

NORDIC FX, NOK, SEK WEEKLY OUTLOOK

  • USDSEK and USDSEK may continue to climb beyond 17-year high
  • Growing recession concerns has been boosting anti-risk US Dollar
  • Strong underlying bullish bias likely to continue pushing pair higher

See our free guide to learn how to use economic news in your trading strategy!

USDSEK Technical Analysis

USDSEK has not only resumed its previous 20-month uptrend but is now re-testing 17-year highs as growing recessionary fears are boosting demand for liquidity and driving the US Dollar higher at the expense of the cycle-sensitive Swedish Krona.

The pair may have also found a new support zone – previously congestive area – between 9.5323-9.5767. The fact that the pair bounced back – as opposed to capitulating and breaking lower like it did in May – reinforces the notion of a strong underlying bullish bias. Looking ahead, USDSEK will likely continue to climb higher against the backdrop of investors seeking liquidity above riskier counterparts.

USDSEK Recovery Suggests Bullish Spike Ahead

Chart Showing USDSEK

USDSEK chart created using TradingView

Zooming out to a monthly chart shows USDSEK reaching 17-year highs while it continues to climb along a 20-month upward-sloping channel. The next significant landmark may be at the 10.00 level which is less than a three percent climb away for the pair. If the prevailing trend holds, USDSEK may reach that point before year-end.

How Much Higher Will USDSEK Go?

Chart Showing USDSEK

USDSEK chart created using TradingView

USDNOK Technical Analysis

Since deviating from its 17-month uptrend, USDNOK has spectacularly recovered and is once again re-testing 17-year highs above the previously-broken upward-sloping support channel. In the coming week the pair will likely continue to rise against the backdrop of growing recessionary fears, though if it falls USDNOK may find soft support around 8.950

Looking at a monthly chart shows how strong USDNOK is now relative to where it was a decade ago. The pair is over 20 percent higher than it was at the peak of the financial crisis. If another downturn occurs, the potential upside momentum for the USDNOK could be significant.

USDNOK Significantly Above Levels During 2008 Financial Crash

Chart Showing USDNOK

USDNOK chart created using TradingView

SWEDISH KRONA, NORWEGIAN KRONE TRADING RESOURCES

--- Written by Dimitri Zabelin, Jr Currency Analyst for DailyFX.com

To contact Dimitri, use the comments section below or @ZabelinDimitrion Twitter

provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.