USD/SEK may rise 389 - 569 pips

10.8090 is our pivot point.

Our preference

The upside prevails as long as 10.8090 is support.

Alternative scenario

The downside breakout of 10.8090 would call for 10.7780 and 10.7600.

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 10.8125 and 10.8097). Finally, the USD/SEK has crossed above its upper Bollinger band (10.8362).

Supports and resistances

10.9340 **

10.9160 *

10.8970 **

10.8790

10.8401 last

10.8220

10.8090 **

10.7780 *

10.7600 **

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