OVERVIEW – We have been seeing an acceleration in broad based USD selling early Monday, but at this point it is too early to tell whether the moves are legitimate.

Eur/Sek pullbacks should be well propped in the 10.15 area with the market in the process of carving a meaningful base on the daily chart. The market has been in the process of carving out a series of higher lows and higher highs and we look for a fresh higher low at current levels ahead of the next upside extension towards 10.60-70 further up. Back above 10.25 will however be required to get things going, while a break back below 10.10 is concerning. 

Usd/Sek our view is highly constructive at current levels and favors continued USD appreciation over the coming weeks.  We contend the market is attempting to carve out a major base rather than in the process of some bearish consolidation. The recent break back above 7.20 confirms bias and exposes 7.50-60 further up. Any setbacks are expected to be well supported ahead of 7.00.

Eur/Sek pullbacks should be well propped in the 10.05-10 area with the market in the process of carving a meaningful base on the daily chart. The market has been in the process of carving out a series of higher lows and higher highs and we look for a fresh higher low at current levels ahead of the next upside extension towards 10.60-70 further up. Back above 10.25 will however be required to get things going, while a close back below 10.10 is concerning.