USD/NOK 4H Chart: Channel Up

The US Dollar was forced to return above the 55-period SMA and monthly R1 on Monday, after testing these levels last week. Therefore, the bearish correction is under a threat of being terminated in the nearest future, especially considering the strength of the next demand areas around 7.95, 7.88 and 7.83. As a result of that, daily and weekly technical indicators are currently giving confident positive signals, suggesting that the Greenback is a "buy" against the Norwegian Krone at the moment. On the other hand, the short-term downward risk remains in place, as 4H studies and the majority of SWFX traders (74%) are strongly bearish towards this currency pair.