FxWirePro: EUR/NOK breaks consolidative pattern, spikes to 9.50 on Norges Bank rate cut

EUR/NOK has been in a consolidation pattern since early this month after breaking from Aug 24 highs at 9.55.

• Norges Bank has cut its benchmark rate by 25 bp at today's meeting, taking it to 0.75% from 1.0%
   
• The central bank has also left the door open to further rate cuts in the upcoming year, adding further pressure on the Krona
   
• Norway's growth is expected to slow further in Q4, weak oil-related production remains a big growth handicap, especially with oil prices so fragile
   
• Norwegian krone slumped post rate cut by Norges Bank, sending EUR/NOK to test fresh highs at 9.50
   
• Upward momentum in the pair intact, next stop for the bulls is at 9.5422 (Aug 25 highs), ahead of 9.5468 (Aug 26 highs)
   
• Supports on the downside are located at 9.3394 (Daily Kijun), 9.3341 (Daily Tenkan) and further below at 9.2526 (20 DMA)