Forex Market: EUR/SEK daily trading forecast

Yesterday’s trade saw EUR/SEK within the range of 9.2431-9.1839. The pair closed at 9.2343, gaining 0.17% on a daily basis.

At 7:25 GMT today EUR/SEK was down 0.06% for the day to trade at 9.2272. The pair held in a daily range of 9.2241-9.2391.

Sweden

The rate of unemployment in Sweden rose to 7.9% in October from 7.8% in September.

It represents the percentage of the eligible work force that is unemployed, but is actively seeking employment. The rate of unemployment also reflects overall economic state in the country, as there is a strong correlation between consumer spending levels and labor market conditions. Low rates of unemployment are accompanied by increased spending, which causes a favorable effect on corporate profits and also leads to overall growth acceleration.

Sweden’s annualized index of consumer prices (CPI) probably contracted by 0.2% in October, according to expectations, from -0.4% in September, which was the fastest level of deflation since March.

In monthly terms, consumer prices were probably flat compared to a 0.2% gain a month earlier.

The index measures the change in price levels of a basket of goods and services from consumer’s perspective and also reflects purchasing trends. Statistics Sweden is to release the official report at 8:30 GMT.

Technical view

According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 9.2204. In case EUR/SEK manages to breach the first resistance level at 9.2570, it may continue up to test 9.2796. In case the second key resistance is broken, the pair could attempt to advance to 9.3162.

If EUR/SEK manages to breach the first key support at 9.1978, it may continue to slide and test 9.1612. With this second key support broken, movement to the downside could extend to 9.1386.

The mid-pivot levels for today are as follows: M1 – 9.1499, M2 – 9.1795, M3 – 9.2091, M4 – 9.2387, M5 – 9.2683, M6 – 9.2979.

In weekly terms, the central pivot point is at 9.2281. The three key resistance levels are as follows: R1 – 9.3025, R2 – 9.3868, R3 – 9.4612. The three key support levels are: S1 – 9.1438, S2 – 9.0694, S3 – 8.9851.