FxWirePro: USD/NOK halts 3-day rally, targets 9.9000 level
Tuesday, May 26, 2020 11:52 AM UTC
- The Norwegian Krone rose after tumbling for three straight sessions, as oil prices surged and the greenback plunged against a basket of currencies.
- Crude oil prices surged, boosted by increasing optimism that producers will stick to commitments to cut crude supply and as the number of U.S. and Canadian rigs dropped to record lows for the third week running.
- International benchmark Brent crude was trading 1.5 percent higher at $35.14 per barrel by 1146 GMT, having hit a high of $36.96 on Thursday, its highest since March 11. U.S. West Texas Intermediate was trading 0.6 percent up at $34.04 a barrel, after rising as high as $34.64 on Thursday, its highest since March 11.
- USD/NOK trades 0.9 percent up at 9.9472, having touched a low of 9.8784 on Thursday, its lowest March 12.
- Immediate resistance is located at 10.0919, close above could take it till 10.1282.
- On the downside, support is around 9.9019 break below could take it till 9.8784.