Free Trial

Traders Continue To Chase CZK as CNB Prepares For Tightening

CZECHIA
  • Momentum on CZK continues as CNB prepares for a tightening cycle; traders have been chasing the Czech koruna amid little MP divergence.
  • USDCZK is approaching ST support at 20.65, which represents the LT downward trending support line (red); a break below that level would open the door for a move down to 20.35.
  • Key support to watch stands at 20.12, which represents the low reached in February 2018, when liquidity reached its peak in the EM market (pre Covid crisis).
  • On the topside, first resistance stands at 21, followed by 21.55 (50D and 100D SMA).

Source: Bloomberg/MNI

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.