Although the US Dollar is trading in a medium term descending channel pattern against the Norwegian Krona, the currency exchange rate is most likely going to surge. The reason for that is the fact that the currency pair has reached the lower trend line of a dominant ascending channel pattern. Moreover, the support of the dominant pattern is strengthened by the additional support of the 50.00% Fibonacci retracement level of the 2016 high and low levels, which is located at the 8.4826. It is most likely that the junior channel will be broken, and a new pattern will form. The new pattern is likely going to guide the pair to the resistance of the 200-period SMA and the 38.20% Fibonacci retracement level near the 8.60 mark.
| Level | Rationale | Indicator | 4H | 1D | 1W | |||
| R4 | 1,258/59 | Weekly R1; 100 and 200-period SMAs | MACD (12; 26; 9) | Sell | Sell | Buy | ||
| R3 | 1,249 | 50.00% Fibo | RSI (14) | Neutral | Buy | Neutral | ||
| R2 | 1,242/44 | Trend; weekly PP; monthly S1; 55 SMA | Stochastic (5; 3; 3) | Sell | Neutral | Sell | ||
| R1 | 1,224 | Trend line | ADX (14) | Sell | Sell | Neutral | ||
| S1 | 1,222 | Trend line | CCI (14) | Neutral | Buy | Neutral | ||
| S2 | 1,219/18 | 38.20% Fibo; monthly S2 | AROON (14) | Buy | Buy | Buy | ||
| S3 | 1,212/11 | Weekly S2; trend line | Alligator (13; 8; 5) | Sell | Sell | Buy | ||
| S4 | 1,202 | Trend line | SAR (0.02; 0.2) | Sell | Sell | Buy | ||
| Aggregate | ↘ | → | ↗ |