FxWirePro: USD/SEK retreats from recent highs, faces resistance at 10-DMA
Tuesday, October 27, 2020 12:54 PM UTC
- The Swedish Krona surged following the release of upbeat economic data.
- Sweden's trade surplus widened to SEK 2.6 billion in September from SEK 1.4 billion a year earlier. Exports of goods decreased 3 percent year-on-year to SEK 124.6 billion, while imports of goods shrank 4 percent to SEK 122 billion.
- Separate data showed the value of loans in Sweden increased 5.20 percent in September over the same month in the previous year.
- Moreover, weakness in the greenback further boosted the bid tone around the Swedish currency.
- USD/SEK trades 0.3 percent lower at 8.7151, having hit a low of 8.7117 earlier, its lowest since October 22.
- Immediate resistance is located at 8.7868 (10-DMA), any close above could take it above 8.8130 (21-EMA).
- On the lower side, support is seen at 8.7012, break below could take it till 8.6843.