Chart EUR/NOK Update: Sharp bounce from fresh year low - but studies under pressure
Selling interest has extended to post a fresh year low at 10.2450
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 10.8000 | * | break level | S1 | 10.2450 | 30 Oct YTD low | ||
| R3 | 10.7000 | * | break level | S2 | 10.2000 | ** | congestion | |
| R2 | 10.6000 | * | break level | S3 | 10.1500~ | November 2022 (m) low | ||
| R1 | 10.4000 | * | congestion | S4 | 10.0900 | ** | 76.4% ret of 2022-2025 rally |
Asterisk denotes strength of level
11:40 GMT - Selling interest has extended to post a fresh year low at 10.2450, before bouncing sharply into consolidation beneath congestion resistance at 10.4000. Daily stochastics and the daily Tension Indicator are rising, and oversold weekly stochastics are ticking higher, suggesting room for a break above here. But the bearish weekly Tension Indicator and negative longer-term charts should limit scope in renewed selling interest/consolidation beneath the 10.6000 break level.
Following cautious/corrective trade, fresh losses are looked for. A later break below the 10.2450 current year low of 30 October will open up congestion around 10.2000. A further break will extend April 2025 losses towards the 10.0900 multi-year Fibonacci retracement. But flat oversold weekly stochastics could prompt short-covering towards here and limit any initial tests in consolidation.