USD/SEK may rise 461 - 671 pips

Our pivot point stands at 10.7760.

Our preference

The upside prevails as long as 10.7760 is support.

Alternative scenario

The downside breakout of 10.7760 would call for 10.7400 and 10.7190.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 10.7821 and 10.7676). Finally, the USD/SEK is trading above its upper Bollinger band (standing at 10.8110).

Supports and resistances

10.9360 **

10.9150 *

10.8930 **

10.8720

10.8259 last

10.7900

10.7760 **

10.7400 *

10.7190 **

Number of asterisks represents the strength of support and resistance levels.