© Dukascopy Bank SA
For the past 170 hours USD/NOK has been forming a triangle pattern, which is now close to being breached, since the apex is nearby. However, toughness of the upper boundary of the formation is significantly higher than toughness of the lower edge, being that the former was in force twice as long, it was also respected by the market far more times. Accordingly, the chances are heavily skewed towards a close beneath the support at 5.8956 and a subsequent dip. Such course of events is also supported by the technical indicators, although SWFX marketplace participants are undecided—50% are long and 50% are short on the U.S. Dollar.
© Dukascopy Bank SA