Expect the dollar to strenghten
As the stock markets are starting to take a dip again, investors are moving away from smaller and riskier markets and currencies.
Swedish krona are having a hard time
One of the currencies that had a hard hit is the Swedish Krona, falling 1.35 % yesterday. It’s expected to fall from 8 USD/SEK to 8.50-8.74 USD/SEK during the coming weeks. The trend is clear by studying the graph above – no doubt a reverse head and shoulder pattern are taking place.
Supports are to be found around 7.50. If the stock market continue to fall, the investors are highly likely to stick to the USD as their safe heaven currency. Stay away from smaller currencies, are the advice from all the professional forex traders.
