EUR/NOK: Rebounds cannot be ruled out - Natixis

Rebounds cannot be ruled out over the next few trading sessions, but a clean breakout above the resistance at 9.4290 (daily parabolic) looks difficult, suggests Micaella Feldstein, Research Analyst at Natixis.

Key Quotes

“The weak daily volatility is a major obstacle to such a pronounced rebound of the pair, for which reason caution remains in order.”

“The EUR/NOK could well pull back towards the support at 9.2330 (lower band of daily Bollinger). A break below this level would release significant downside potential, opening the way for a slide towards 9.1550-9.1720 (descending support trendline) before 9.0760 (Fibonacci projection) and 8.9890 (long-term trendlne).”

“Resistance levels are located at 9.3870, at 9.4290, at 9.5020 and at 9.56.”