The Daily trend is in a Downtrend technically indicated by following:
• Dow pattern- lower tops and lower bottoms (T1-B1-T2-B2).
• Price is currently trading BELOW the downtrend line.
The downtrend is confirmed by the bearish cross of MA10 below MA20.
Prices are trading below the support-turned-resistance level at 8.183.
RSI:
• Bearish divergences are commonplace in a strong uptrend.
• Higher highs on price charts and lower highs on oscillator chart.
• RSI is below the equilibrium level- 50.
Therefore, I will recommend SHORT POSITIONS for the no position holders on USD/SEK. Take profit at 7.9150 (S2), the 161.8% Fib. Stop loss should be a bit above the downtrend line resistance level and support level at 8.183 (S1), thus the stop loss is at 8.30-8.50.
For Short-holders I will recommend to HOLD their short positions and adopt the same stop loss and take profit orders as mentioned above.
• Dow pattern- lower tops and lower bottoms (T1-B1-T2-B2).
• Price is currently trading BELOW the downtrend line.
The downtrend is confirmed by the bearish cross of MA10 below MA20.
Prices are trading below the support-turned-resistance level at 8.183.
RSI:
• Bearish divergences are commonplace in a strong uptrend.
• Higher highs on price charts and lower highs on oscillator chart.
• RSI is below the equilibrium level- 50.
Therefore, I will recommend SHORT POSITIONS for the no position holders on USD/SEK. Take profit at 7.9150 (S2), the 161.8% Fib. Stop loss should be a bit above the downtrend line resistance level and support level at 8.183 (S1), thus the stop loss is at 8.30-8.50.
For Short-holders I will recommend to HOLD their short positions and adopt the same stop loss and take profit orders as mentioned above.