USD/NOK 4H Chart: Channel Down

This is a rare case when the pattern's lower boundary merges with the major round level that is additionally acting as extra support for the pair. For the USD/NOK pair this level is located at 8.00, while being immediately followed by weekly and monthly S2s. Likelihood of new a leg up is high, as soon as these resistances are all reached over the next few days. On Monday the new monthly pivots will be available, but notwithstanding that the US Dollar will put forward the scenario that will imply a climb in the direction of 8.20, namely the 100-period SMA and upper edge of the pattern. Purchases of the cross are backed by the SWFX market sentiment (70% short), which assumes USD is oversold.