- The Danish Krone slumped to a 1-1/2 week trough as the greenback extended gains against a basket of currencies.
- The dollar gained, bolstered by the prospect of reopenings in some American states and countries around the world, as well as U.S. services data that was stronger than market expectations.
- The U.S. Institute for Supply Management’s non-manufacturing index fell to 41.8 last month, from 52.5 in March, but the April level was higher than the consensus forecast of 36.8.
- USD/DKK is trading 0.3 percent up at 6.9087, having hit high of 6.9146 earlier, its highest since Apr. 24.
- Immediate resistance is located at 6.9226, close above could take it till 6.9345.
- On the downside, support is seen at 6.8668 (10-EMA), and any break below will take it till 6.8533 (21-EMA).
Recommendation: Good to buy on dips around 6.8905, with stop loss of 6.8786 and target price of 6.9188.
