EUR/SEK may fall 327 - 487 pips

Our pivot point is at 11.7380.

Our preference

The downside prevails as long as 11.7380 is resistance.

Alternative scenario

The upside breakout of 11.7380, would call for 11.7640 and 11.7800.

Comment

The RSI is trading below 30. This could mean that either the pair is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is below its signal line and negative. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 11.7393 and 11.7405). Finally, the EUR/SEK has penetrated its lower Bollinger band (11.7162).

Supports and resistances

11.7800 **

11.7640 *

11.7380 **

11.7270

11.7157 last

11.6830

11.6670 **

11.6510 *

11.6350 **

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