USD/KRW may rise 621 - 921 pips

1347.80 is our pivot point.

Our preference

The upside prevails as long as 1347.80 is support.

Alternative scenario

The downside breakout of 1347.80 would call for 1342.80 and 1339.80.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (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 1350 and 1349.50). Finally, the USD/KRW has crossed above its upper Bollinger band (1352.71).

Supports and resistances

1368.30 **

1365.30 *

1362.30 **

1359.30

1353.09 last

1349.80

1347.80 **

1342.80 *

1339.80 **

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