Following a strong bearish streak versus the USD over the past week, the DKK has begun a modest correction versus the greenback and it looks like the trend is likely to continue further.
Below is the daily chart of USD/DKK. The technical indicators are the RSI, Slow Stochastic and Williams Percent Range.
- A breach of the upper Bollinger Band is evident on the chart (1), indicating the downward correction is expected to continue further.
- A bearish cross is evident on the Slow Stochastic (2), signaling the next move may be a downward correction.
- The RSI (3) signals that the price of this pair is floating in the overbought territory, suggesting downward pressure.
- Williams Percent Range (4) further supports the downward direction as it is still near the upper limit.
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Natalie R. is a Market Strategist with ForexYard. Her combination of political and economic analysis into daily fundamental analysis gives her writings a unique perspective for forex traders. She has helped ForexYard generate more efficient and versatile market analysis which she translates into outstanding customer support and trading advice. Her writings have been published on the ForexYard Trading Blog and affiliate websites. Natalie R. holds degrees in Economics and Political Science from Brandeis University.
