EUR/SEK still looks overbought – Danske Bank

Chief Analyst at Danske Bank Allan von Mehren noted the cross still remains in overbought territory.

Key Quotes

“EUR/SEK bounced back from highs earlier this week but still trades clearly higher than before the Riksbank decision”.

“The cross is overbought relative to short-term (and long-term) models, but the market is clearly not in SEK-buying mode and the cross could therefore easily go higher from here”.

“Today, we have the Riksbank Board in a recurrent Riksdag hearing, which may be a market mover. Hard to see anything else than last week’s dovish message coming out from that. But one never knows”.