MNI BRIEF: China Visitor Mobile Payments Surge in H1

MNI China Daily Summary: Friday, July 26

MNI BRIEF: Foreign Firms Content In China

MNI BRIEF: Turkish Inflation Expectations Steady- TEBA

MNI China Press Digest July 26: Deposit Rates, Fiscal, PBOC

MNI: PBOC Net Injects CNY299.05 Bln via OMO Fri

MNI: BAKER HUGHES US RIG COUNT 589; OIL RIGS 482; GAS RIGS 101

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT FINAL JUL INDEX 66.4

EZ/UK Bond Supply Calendar: BoE Short APF Operation on Monday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

NOK: Danske Recommend Buying EURNOK Spot

NOK
BulletForeign Exchange Bullets

Danske Bank have issued a new tactical trade recommendation to buy EURNOK spot at 11.3880 with a soft target of 11.85 and a hard stop-loss of 11.15.

  • They note that the trade is tactical in nature but has strategic potential.
  • Danske question the sustainability of the recent NOK rally and note that “NOK is beginning to technically look overbought and the import weighted NOK FX is now stronger than Norges Bank’s forecast, which makes a September rate cut look increasingly likely”.
  • “Finally, we are of the view that the combination of elevated wage growth and negative productivity growth in Norway marks a substantial medium-term headwind for the currency”.
  • “The biggest risk to the trade is a broad based rally in cyclically sensitive assets, possibly driven by the combination of a more resilient global economy and softer rhetoric from central banks”.
136 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

Danske Bank have issued a new tactical trade recommendation to buy EURNOK spot at 11.3880 with a soft target of 11.85 and a hard stop-loss of 11.15.

  • They note that the trade is tactical in nature but has strategic potential.
  • Danske question the sustainability of the recent NOK rally and note that “NOK is beginning to technically look overbought and the import weighted NOK FX is now stronger than Norges Bank’s forecast, which makes a September rate cut look increasingly likely”.
  • “Finally, we are of the view that the combination of elevated wage growth and negative productivity growth in Norway marks a substantial medium-term headwind for the currency”.
  • “The biggest risk to the trade is a broad based rally in cyclically sensitive assets, possibly driven by the combination of a more resilient global economy and softer rhetoric from central banks”.