- 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.
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.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD edges lower toward 1.0700 post-US PCE
EUR/USD stays under modest bearish pressure but manages to hold above 1.0700 in the American session on Friday. The US Dollar (USD) gathers strength against its rivals after the stronger-than-forecast PCE inflation data, not allowing the pair to gain traction.
GBP/USD retreats to 1.2500 on renewed USD strength
GBP/USD lost its traction and turned negative on the day near 1.2500. Following the stronger-than-expected PCE inflation readings from the US, the USD stays resilient and makes it difficult for the pair to gather recovery momentum.
Gold struggles to hold above $2,350 following US inflation
Gold turned south and declined toward $2,340, erasing a large portion of its daily gains, as the USD benefited from PCE inflation data. The benchmark 10-year US yield, however, stays in negative territory and helps XAU/USD limit its losses.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Week ahead – Hawkish risk as Fed and NFP on tap, Eurozone data eyed too
Fed meets on Wednesday as US inflation stays elevated. Will Friday’s jobs report bring relief or more angst for the markets? Eurozone flash GDP and CPI numbers in focus for the Euro.