Forex Market: EUR/NOK daily trading forecast

Friday’s trade saw EUR/NOK within the range of 8.5320-8.4533. The pair closed at 8.4789, losing 0.26% on a daily basis.

At 7:26 GMT today EUR/NOK was down 0.08% for the day to trade at 8.4724. The pair held in a daily range of 8.4702-8.4932.

Fundamental view

Eurozone

Sentix GmbH will report at 09:30 GMT on investor confidence within the Eurozone in November. According to analysts’ forecasts, investor sentiment probably deteriorated this month, with the corresponding index projected to come in at -15.0 compared to -13.7 in October. If confirmed, this would be the worst level of confidence since May 2013.

The report is based on a survey encompassing about 2 800 investors and analysts. A reading above the zero threshold indicates optimism, and vice versa.

Another report by Italy’s National Institute of Statistics (ISTAT) is anticipated to show that the nation’s industrial output expanded by an annualized 0.4% in September following a 0.7% contraction a month earlier and a 1.8% decline in July.

In monthly terms, Italy’s industrial production probably grew by 0.2% following up on a 0.3% jump in August.

In Greece, industrial production likely contracted at the annual pace of 3.3% in September after it slid 5.7% a month earlier, while consumer prices probably decelerated by an annualized 0.6% in October following a 0.8% deflation a month earlier.

Norway

Statistics Norway is expected to report at at 09:00 GMT that the Consumer Price Index rose at an annualized pace of 2.0% in October, slightly trailing the preceding month’s 2.1% gain. In monthly terms, consumer inflation likely accelerated by 0.1% following a 0.5% gain a month earlier.

Meanwhile, producer inflation, or the so-called Producer Price Index, is expected to have declined by an annualized 3.3% following 3.8% deflation in September. If confirmed, this would be the fourth straight month of falling producer prices.

Technical view

According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 8.4881. In case EUR/NOK manages to breach the first resistance level at 8.5228, it may continue up to test 8.5668. In case the second key resistance is broken, the pair could attempt to advance to 8.6015.

If EUR/NOK manages to breach the first key support at 8.4441, it may continue to slide and test 8.4094. With this second key support broken, movement to the downside may extend to 8.3654.

The mid-pivot levels for today are as follows: M1 – 8.3874, M2 – 8.4268, M3 – 8.4661, M4 – 8.5055, M5 – 8.5448, M6 – 8.5842.

In weekly terms, the central pivot point is at 8.5315. The three key resistance levels are as follows: R1 – 8.6304, R2 – 8.7820, R3 – 8.8809. The three key support levels are: S1 – 8.3799, S2 – 8.2810, S3 – 8.1294.