The EUR/NOK looks to have a clear run lower should it breach its current rising trend line.
Similar to its counterpart in the USD/NOK, the EUR/NOK continues its move lower in a correction of an intermediate uptrend that began in May.
For the past two days the pair has failed to breach below the rising trend line that comes in at a price of 7.9500.
Typically when a currency pair falls to its trend line this is a good spot to place a buy position. However, a quick glance at the weekly chart shows the long term trend is to the downside.
A close below the trend line would signal an end to the uptrend and a further drop in the price of the pair.
Supports are outlined on the daily chart below;t the September low of 7.8300, followed by the June low of 7.800, and finally the swing low on the daily chart at 7.6685.
Resistance for the EUR/NOK comes in at 8.0390, followed by the October high at 8.2550.
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Russell Glaser is a Currency Analyst with ForexYard. Russell provides analysis in the FX spot market by employing fundamental research methodologies. In addition to currencies, Russell closely follows the correlation between the Commodities market and the movement of equities. His writings have been published on the ForexYard Trading Blog and associated partner sites. Prior to joining Forexyard, Russell Glaser served as a management consultant in the financial services industry, advising Fortune 100 companies. Russell holds a degree in finance from the Fisher College of Business at The Ohio State University.
