© Dukascopy Bank SA
As soon as USD/SEK fell beneath the long-term simple moving average (for 200 hours), the outlook turned negative. This bearish potential is currently being realised in the form of a high-quality channel down pattern. Both trend-lines were consistently respected by the market and should thus continue playing important role in shaping the path of the price in the future, which is presumably leading south, especially since the pair has just encountered the upper boundary of the down-sloping corridor. The dip is likely to extend to 6.4669, where it should be halted by the lower boundary of the pattern.
© Dukascopy Bank SA