EUR/NOK may fall 540 - 740 pips

11.3520 is our pivot point.

Our preference

The downside prevails as long as 11.3520 is resistance.

Alternative scenario

The upside breakout of 11.3520, would call for 11.3860 and 11.4070.

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 is trading under both its 20 and 50 period moving average (respectively at 11.3489 and 11.3497). Finally, the EUR/NOK is trading below its lower Bollinger band (standing at 11.3238).

Supports and resistances

11.4070 **

11.3860 *

11.3520 **

11.3390

11.3060 last

11.2520

11.2320 **

11.2120 *

11.1920 **

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