Weaker than expected Industrial Confidence figures is weighing on the Norwegian Krone. The USDNOK has risen to a 2-week high as Q2 Industrial Confidence in Norway dropped from a revised figure of 6.8 in the 1st quarter to 5.6 in the 2nd quarter.
As a consequence, USDNOK experienced good demand and has risen to test the 8.67279 resistance (R3 pivot), having broken through the R1 and R2 resistance pivots at 8.62655 and 8.64403 respectively.
USDNOK Technical Plays
The long term weekly chart for USDNOK shows the price action in a symmetrical triangle pattern. The present upside move has been restricted by the upper border of the triangle. Beyond the triangle borders, the long term upside target lies at 8.81106 (March and May 2019 highs) and downside target lies at 8.47175 (January, March and June 2019 lows).
Near term, the pivot points showcase the immediate support and resistance areas. Price has been resisted at R3 pivot (8.67279) and is presently pulling back towards R2 (8.64403). Therefore downside violation of R2 will open the door for a retreat to R1 pivot of 8.62701 or central pivot (8.59693). Bullish break of R3 will clear the path to 8.7573 and the long term upside target.
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