EUR/SEK likely to resume its up move once a breakout above 11.95 materializes – SocGen

EUR/SEK uptrend has stalled after retesting of July high near 11.95. Economists at Société Générale analyze the pair’s technical outlook.

Signals of a large decline are not yet visible

The pair has witnessed range-bound price action recently however, signals of a large decline are not yet visible. 

The 50-DMA near 11.79/11.75 is expected to be first layer of support near term. 

Once a breakout above 11.95 materializes, EUR/SEK is likely to resume its up move and head gradually towards projections at 12.10 and 12.19. 

Only if support at 11.79/11.75 gets violated, would there be risk of a short-term pullback.