Forex Market: EUR/NOK daily forecast

During yesterday’s trading session EUR/NOK traded within the range of 8.2316-8.2532 and closed at 8.2478.

At 06:17 GMT today EUR/NOK was losing 0.01% for the day to trade at 8.2446. The pair touched a daily low at 8.2401 at 06:03 GMT.

Norway

The Manufacturing Purchasing Managers’ Index (PMI) in Norway probably rose to 52.5 in April, from 51.9 in the previous month, according to the median analysts’ estimate.

The index is based on a monthly survey – questionnaire, which involves carefully selected companies, thereby giving a preliminary indication of the future developments in the private sector of the economy by tracking changes in production, new orders, stock levels, employment and prices in the manufacturing sector. PMI is the first economic indicator that provides accurate information on changing economic conditions before the publication of the official government statistics. The index is presented at levels between 1 and 100. Levels above 50 indicate positive growth , those below 50 indicate a contraction in activity.

Statistics Norway is due to release an official report at 7:00 GMT. A higher than expected increase would certainly heighten the appeal of the Norwegian krona.

Euro zone

The final manufacturing Purchasing Managers’ Index (PMI) in the Euro zone will probably remain unchanged at 53.3 in April, matching the preliminary reading estimated in March, according to the median forecast by experts. The index is based on a monthly survey, which includes carefully selected companies that are representative of the state of the private sector in the economy and track the changes in production, new orders, market share, employment and prices in the manufacturing sector. ThePMI is the first economic indicator for each month, providing information on the changing economic conditions, significantly earlier than the official state statistics. It is presented as a scale from 1 to 100. Readings above 50 are connected with a positive outlook for economic growth. Conversely, values ​​below 50 indicate a less optimistic forecast. This is a preliminary value of the indicator.

The research group Markit Economics will release the official figures at 8:00 GMT.

In addition, the jobless rate in the Euro zone as a whole probably remained steady at 11.9% in March. The official rate is due to be released at 9:00 GMT by Eurostat. Lower than expected unemployment would be supportive for the 18-nation common currency.

Technical view

According to Binary Tribune’s daily analysis, in case EUR/NOK manages to breach the first resistance level at 8.2566, it will probably continue up to test 8.2658. In case the second key resistance is broken, the pair will probably attempt to advance to 8.2784.

If EUR/NOK manages to breach the first key support at 8.2352, it will probably continue to slide and test 8.2226. With this second key support broken, the movement to the downside will probably continue to 8.2136.