EUR/SEK testing daily lows in sub-9.5300 levels

The Swedish Krona is sharply higher vs. its European peer on Tuesday, dragging EUR/SEK to test the area below the 9.5300 handle, or daily lows.

EUR/SEK bid after data

The now softer tone around the single currency is helping the cross to revert part of the recent advance to highs beyond the 9.5600 handle.

In addition, today’s Swedish docket saw Retail Sales expanding at an annualized 2.7% during February and 0.2% inter-month, while trade balance came in flat during the same period. Further results showed Producer Prices contracted at a monthly 0.8% MoM and gained 7.5% on a year to February.

SEK gathered some support as well from Riksbank’s Ingves comments, noting that it is important that the currency strengthens ‘slowly’.

EUR/SEK levels to consider

As of writing the cross is losing 0.13% at 9.5356 facing the next support at 9.5095 (low Mar.27) followed by 9.5012 (55-day sma) and then 9.4503 (low Mar.17). On the other hand, a surpass of 9.5655 (high Mar.27) would aim for 9.5863 (200-day sma) and finally 9.6003 (100-day sma).