USD/SEK Price Analysis: Bullish-flag chart pattern in the daily chart targets 9.4000

The USD/SEK advances some 0.36% during the day at press time.
Thin market liquidity conditions have favored the greenback, which advances against most G8 currencies.
USD/SEK Price Forecast: A textbook bullish-flag chart patterns, targets 9.4000.

Christian Borjon Valencia FXStreet

The USD/SEK advances late in the European session, trading at 9.1256 at the time of writing. On Friday, Wall Street is closed in the US in observance of Christmas; US equity and money markets would re-open on Monday.

Thin market liquidity conditions keep the greenback in the right foot against most G8 majors, except for the British pound, gaining some 0.03%. In the equity markets, most European bourses that opened on Friday are in the green, except for the CAC 40, down some 0.28%.

A recap for US money markets, the US 10-year Treasury yield finished the week at 1.493%, while the US Dollar Index clung to the 96.00 figure, at 96.06, despite losing in the last three trading sessions ahead of Christmas eve.

USD/SEK Price Forecast: Technical outlook

During the Asian and European session, the USD/SEK dipped as low as 9.0500, pierced the December 22 daily low at 9.0535. However, as European traders got to their desks, the pair rallied up to the December 23 daily high around 9.1323, which capped the upward move, settling around current levels.

From the daily chart perspective, the USD/SEK depicts the formation of a “perfect” textbook bullish-flag chart pattern, formed through the month of December, that in the event of breaking around the 9.1500 figure would target 9.4000.

Nevertheless, it would find some hurdles on the way north. The first resistance would be the psychological 9.1500 figure. A breach of the latter would expose successive daily highs/resistance levels reached in December, like the December 20 daily high at 9.1704, followed by the December 3 high at 9.1864, and then the November 26 YTD high at 9.2026.

On the flip side, the first support would be 9.0500. A break below that level would expose the December 16 9.0043, followed by the figure at 9.000.

USD/SEK

Overview
Today last price	9.1166
Today Daily Change	0.0332
Today Daily Change %	0.37
Today daily open	9.0834

Trends
Daily SMA20	9.0906
Daily SMA50	8.8627
Daily SMA100	8.773
Daily SMA200	8.6312

Levels
Previous Daily High	9.1325
Previous Daily Low	9.0537
Previous Weekly High	9.171
Previous Weekly Low	9.0044
Previous Monthly High	9.2026
Previous Monthly Low	8.4916
Daily Fibonacci 38.2%	9.1024
Daily Fibonacci 61.8%	9.0838
Daily Pivot Point S1	9.0472
Daily Pivot Point S2	9.011
Daily Pivot Point S3	8.9683
Daily Pivot Point R1	9.126
Daily Pivot Point R2	9.1687
Daily Pivot Point R3	9.2048

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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