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USDSEK
USDSEK

USDSEK Rebounds As Sweden Unemployment Rate Hits 8.2%

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Nikolas Papas Forex Analyst
    Summary:
  • USDSEK continues higher for the third consecutive session after the pair tested the previous week the 23.6% Fibonacci retracement from the recent sharp

USDSEK continues higher for the third consecutive session after the pair tested the previous week the 23.6% Fibonacci retracement from the recent sharp sell-off from record highs on March 20. The rebound from two-month lows tests for one more time the resistance at the 50-day moving average.

Last month, there were 5.005.000 employed persons in Sweden, a decrease of 99.000 persons. The number of unemployed persons in Sweden increased by 80.000 to 449.000. The unemployment rate increased by 1.4% at 8.2%. Seasonally adjusted shows a decrease in employment and an increase in unemployment.

The average number of hours worked amounted to 143.6 million hours per week, which corresponds to a decrease of 11.2 per cent, calendar-adjusted.

The labour force participation rate was 72.7 per cent, a decrease of 0.9 percentage points compared with February 2020.
The employment rate was 66.4%, a decrease of 1.7 percentage points. Among men, the employment rate was 69.4%. Among women, the employment rate was 63.4%, a decrease of 1.9%.

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USDSEK Price Resistance and Support

USDSEK is 0.05% higher at 9.6703 after tested earlier today the 200-day moving average at 9.6995. The pair was under selling pressure the last weeks as investors sentiment improved ahead of the gradual opening in the global economy. 

The technical picture remains bearish despite the three days rally, and I can’t rule out the continuation of the correction.   

On the downside, the first support for USDSEK stands at 9.6539 the daily low. The next support area for the pair might emerge at 9.6071 the Friday lows. Next support stands at 9.5500 the low from May 21.  

On the contrary, first resistance for USDSEK will be met at 9.7021 the daily high. A break above might attract more bids for an attempt to the next resistance level at 9.7656 the 100-day moving average. The next supply zone is at 9.8720 the high from May 18.