Trading opportunities for currency pair: a W-shape pattern is just about formed. If the US Fed raises rates on 16th December, the USD/SEK will head to 9.4794. It has until April 2016 to reach the target. The interim target is at 9.3259 (March 2009 maximum). Growth will cancel if the weekly candle closes below 8.4933. Following a rebound from 8.83, I will be waiting for a return to 8.18 along the same W-shaped pattern.
Background:
The last USD/SEK idea I made came out on 26th October. The rate at that time stood at 8.4945. I was waiting for the dollar to strengthen to 8.8359 along the W-shaped pattern. The target still hasn’t been reached. In actual fact, the USD/SEK lifted to 8.7824.
As things are at the moment:
So what should we do if it reaches 8.8359? Market participants are expecting the US Fed to put up their rates. On the 4th December a US labour market report will be out. After the trading session closes on Friday, ready yourself for a break in the 8.88 resistance or the formation of an inverted candle combination (bounce from the resistance).
If the US Fed raises rates on 16th December, the USD/SEK will head to 9.4794. The interim target in this case will be 9.3259 (March 2009 maximum). If we see a rebound from 8.83, I’ll be expecting a return of the rate to 8.18 along the same W-shaped pattern.
Forecasts which are made in the review constitute the personal view of the author. Commentaries made do not constitute trade recommendations or guidance for working on financial markets. Alpari bears no responsibility whatsoever for any possible losses (or other forms of damage), whether direct or indirect, which may occur in case of using material published in the review
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