USD/SEK 1H Chart: Rate pressured by SMAs
The US Dollar has been appreciating against the Swedish Krona in an ascending channel since late August. After failing to reach its upper boundary on November 21, the Greenback initiated a new wave down.
Meanwhile, the lower boundary of the senior channel was tested for two consecutive sessions. The rate, however, managed to edge slightly higher until the weekly PP at 8.3538 was reached.
Currently, the pair is located between the 55-, 100– and 200-hour SMAs. The pressure from both barriers might force it to move sideways. Its subsequent movement, however, is expected to be south and past the bottom boundary of the senior channel.
In case this scenario occurs, this might mark a period of depreciation for the pair until some weekly or monthly pivot points halt this bearish momentum (both types of pivot points are to change at the end of this week, thus a specific downside target cannot be set).
Meanwhile, the lower boundary of the senior channel was tested for two consecutive sessions. The rate, however, managed to edge slightly higher until the weekly PP at 8.3538 was reached.
Currently, the pair is located between the 55-, 100– and 200-hour SMAs. The pressure from both barriers might force it to move sideways. Its subsequent movement, however, is expected to be south and past the bottom boundary of the senior channel.
In case this scenario occurs, this might mark a period of depreciation for the pair until some weekly or monthly pivot points halt this bearish momentum (both types of pivot points are to change at the end of this week, thus a specific downside target cannot be set).