Monthly Chart
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At least one significant level to be broken
The hourly chart shows that the rate is rate's movements are currently impacted by two patterns – a broadening ascending wedge bound by the uptrend and an additional trend-line; and a descending broadening wedge which has just been broken to the upside. The 200-hour SMA will be targeted next and a retracement to the broken trend-line could come in this or the next trading session. The 100-period SMA is to blame for the pair's current struggle at 9.5210, meaning that it could dive to revisit the broken trend-line immediately as well. In general, the movement is expected to remain bullish until the major resistance is reached.
If the Euro is strong enough to overcome the major supply level, the senior wedge should maintain its significance, pulling the pair towards the 9.6686 level with only the monthly R1 as a potential encumbrance.
Daily Chart
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Bull market challenged by interim levels
With aggregate technical indicators pointing up on most of the time-frames, a favourable environment for a bullish market has been established. However, the pair has touched the upper Bollinger more than once and this does signal the currency pair to potentially be overbought. A dip is therefore still possible, but the road to the downside is far from smooth, starting with the broken wedge at 9.5046, the current uptrend at 9.4935 and various other levels on the way to the 9.5147 support.
On a medium time-frame, we expect the pair to dip to the 9.1776 support with further downside potential limited. If, however, the 9.4157 support line is broken, EUR/SEK will confirm the double top pattern and a sharp dive could follow. Lack of this confirmation would lead through the first scenario where the strong resistance line is expected to be broken at some point in the future, when the previously experienced bull trend will take over.
Hourly Chart
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A set of fundamental data caused no delight for traders and investors, as none of the figures have fulfilled expectations on Friday. A significant date in the economic calendar appears to be next Tuesday, when a set of high significance European data comes out.
Aggregate Technical Indicators
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