FxWirePro: USD/DKK extends losses below 6.4000, finds support at 10-DMA
Tuesday, September 29, 2020 10:59 AM UTC
- The Danish Krone rose, hovering away from a 2-month low hit last week following the release of better-than-expected manufacturing confidence data.
- Denmark's manufacturing confidence indicator declined to -11 in September , the weakest since June, from -10 in the previous month, but better-than-expectations of -12.
- Meanwhile, both production expectations and stocks of finished goods also strengthened.
- Moreover, weakness in the greenback across the board further supported the bid tone around the Danish currency.
- The greenback against a basket of currencies traded 0.1 percent down at 94.18, having touched a low of 94.07 earlier, its lowest since September 23.
- USD/DKK is trading 0.2 percent lower at 6.3709, having hit high of 6.4127 on Friday, its highest since July 24.
- On Monday, the pair rose to a high of 6.4102 but failed to sustain gains above the 6.4000 handle to close nearly 0.3 percent lower at 6.3831.
- Immediate resistance is located at 6.4095, close above could take it till 6.4180.
- On the downside, support is seen at 6.3454, and any break below will take it till 6.3278 (21-EMA).