News | Forex Optimum



EUR/NOK: The risk is to the upside over next couple of months – Nordea

EUR/NOK is now trading around 9.70 after reaching a record low at 9.65 for the first time since 2019. While economists at Nordea cannot exclude the possibility of a stronger krone if oil prices keep climbing, they still believe that the risk is to the upside in EUR/NOK.

Upside risks in EUR/NOK

“We believe that the central bank will reduce the NOK purchases to around 300-400m/day in November, as a result of the 2022 budget proposal. The reduction of NOK purchases from Norges Bank means less tailwinds for NOK from November onward. But until then, NOK could continue to go stronger with the buying flow from petroleum companies and Norges Bank.”

“The uncanny low RSI suggests that EUR/NOK will either consolidate or move higher in the upcoming period. But with the moves we have seen lately, it's hard to be sure when this strong downward trend in EUR/NOK will be put off course.”

“In the short-term, oil prices could rise above $90/barrel according to the global EIA’s oil storage outlook. If oil prices continue to rise, we could see EUR/NOK approaching 9.50-9.60.”


You may also be interested:

22:39 26.11.2021
GBP/USD steady around 1.3340 amid a risk-off market mood
The discovery of a new COVID-19 variant in South Africa that could be harder to combat spurred risk-off market mood. The British pound fell on COVID-19 new variant though ended the day in the green, up 0.09%. GBP/USD upward move caused by US dollar weakness. The British pound recovers from earlier losses during the day, despite risk-of-market sentiment clouding the financial markets due to discovering a new COVID-19 variant in South Africa. At the time of writing, the GBP/USD is trading at
21:56 26.11.2021
EUR/GBP spikes higher towards 0.8500 as markets dial down global central bank rate hike bets
EUR/GBP spiked towards 0.8500 on Friday as markets were rocked by the latest Covid-19 developments. The pair benefitted from a moderation of global central bank rate hikes. EUR/GBP saw sharp upside on the final trading day of the week, surging from close to the 0.8400 level to print session highs near 0.8500. As trade draws to a close for the week a little earlier than usual thanks to the US Thanksgiving holiday weekend, the pair is trading in the 0.8480 area with on-the-day gains of about
Bonuses VIP