USD/NOK may fall 605 - 885 pips

10.4950 is our pivot point.

Our preference

The downside prevails as long as 10.4950 is resistance.

Alternative scenario

The upside breakout of 10.4950, would call for 10.5420 and 10.5710.

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 negative and below its signal line. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 10.5551 and 10.5685).

Supports and resistances

10.5710 **

10.5420 *

10.4950 **

10.4760

10.4455 last

10.3850

10.3570 **

10.3280 *

10.3000 **

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