Forex Market: USD/NOK daily outlook

During yesterday’s trading session USD/NOK traded within the range of 5.9580-5.9954 and closed at 5.9831.

At 6:32 GMT today USD/NOK was losing 0.16% for the day to trade at 5.9743. The pair touched a daily low at 5.9720 at 6:31 GMT.

Fundamental view

The rate of unemployment in Norway probably remained steady at 3.6% during the three months through February, according to the median forecast by experts. Lower than expected unemployment would certainly provide a boost to Norwegian krone. Statistics Norway will release the official rate at 9:00 GMT.

Meanwhile, employment in United States private sector probably increased by 190 000 during March, following another job gain of 139 000 in February. The report by Automatic Data Processing Inc. (ADP) is based on data, encompassing about 400 000 out of 500 000 business entities with over 24 million employees engaged in 19 major sectors of the economy in accordance with North American Industry Classification System (NAICS). It usually comes out two days before the official employment report by the Bureau of Labor Statistics (BLS), thus, providing clues over the tendency in nations non-farming sector. In case employment increases more than anticipated, this would have a bullish effect on the greenback. The report is expected at 13:15 GMT.

Factory orders in the United States rose 0.8% in February, a monthly survey will probably reveal at 15:00 GMT. In January compared to December orders fell 0.7%. This indicator reflects current industrial activity in the country and also provides clues over sector development in the future. The survey is based on 89 different industrial categories, which are organized in 473 sub-groups. A larger rate of increase would be supportive for the US dollar.

Technical view

According to Binary Tribune’s daily analysis, in case USD/NOK manages to breach the first resistance level at 5.9997, it will probably continue up to test 6.0162. In case the second key resistance is broken, the pair will probably attempt to advance to 6.0371.

If USD/NOK manages to breach the first key support at 5.9622, it will probably continue to slide and test 5.9414. With this second key support broken, the movement to the downside will probably continue to 5.9249.