USD/DKK Currency Pair Forecast
Explanation to Bollinger's Bands
Bollinger Bands was created by John Bollinger in the early 1980s, its purpose is to define price action relative to the assets highs and lows. This technical indicator is used to identify buy and sell signals and has proven very well in doing so.
Bollinger Bands consist of a set of three curves drawn in relation to securities prices. The middle band is a measure of the intermediate-term trend, usually a simple moving average, that serves as the base for the upper and lower bands. The interval between the upper and lower bands and the middle band is determined by volatility, typically the standard deviation of the same data that were used for the average. StockInvest.us uses Bollingers suggested 20 day average.
Middle Bollinger Band = 20-period simple moving average
Upper Bollinger Band = Middle Bollinger Band + 2 * 20-period standard deviation
Lower Bollinger Band = Middle Bollinger Band - 2 * 20-period standard deviation
BandWidth defines the current width of the band.
%b defines the current position within the band.
BandWidth = (Upper Bollinger Band - Lower Bollinger Band) / Middle Bollinger Band
%b = (Last - Lower Bollinger Band) / (Upper Bollinger Band - Lower Bollinger Band)
Live Samples:
Bottlenecks in bandwidth indicate an upcoming change. Break up through the moving average line or continuous movements above the moving average line indicate a break up, and vice versa.
Source: http://www.bollingerbands.com
Green day on Friday for USD/DKK currency pair after gaining 0.152%
(Updated on Jun 21, 2024)
The USD/DKK currency pair price gained 0.152% on the last trading day (Friday, 21st Jun 2024), rising from kr6.97 to kr6.98. During the last trading day the currency pair fluctuated 0.460% from a day low at kr6.96 to a day high of kr6.99. The price has risen in 7 of the last 10 days and is up by 1.06% over the past 2 weeks. Volume fell on the last day by -549 shares and in total, 73 thousand shares were bought and sold for approximately kr510.05 thousand. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.
The currency pairis at the upper part of a narrow and horizontal trend and normally this may pose a good selling opportunity but a break-up through the top trend line at kr7.01 will give a strong buy signal and a trend shift could be expected. Given the current horizontal trend, you can expect USD/DKK currency pair with a 90% probability to be traded between kr6.82 and kr6.99 at the end of this 3-month period. A break of a horizontal trend is often followed by a large increase in the volume, and currency pairs seldom manage to go directly from the bottom of a trend up to the top. Currency pairs turning up in the middle of a horizontal trend are therefore considered to be potential runners.
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USDDKK Signals & Forecast
The USD/DKK currency pair holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at kr6.96 and kr6.90. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Monday, June 03, 2024, and so far it has risen 2.00%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. Volume fell during the last trading day while the price increased. This causes a divergence and may be considered as an early warning, but it may also not. The currency pair had a Golden Star Signal on Friday, June 07, 2024 in the long-term chart.
Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the currency pair in question.
Golden Star 12 Months
The currency pair had a Golden Star Signal on Friday, June 07, 2024 in the long-term chart.Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the currency pair in question.
Support, Risk & Stop-loss for USD/DKK currency pair
USD/DKK finds support from accumulated volume at kr6.97 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
In general the currency pair tends to have very controlled movements and therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the currency pair During the last day, the currency pair moved kr0.0320 between high and low, or 0.460%. For the last week the currency pair has had daily average volatility of 0.454%
The USD/DKK currency pair is overbought on RSI14 and lies in the upper part of the trend. Normally this may pose a good selling opportunity for the short-term trader, but some currency pairs may go long and hard while being overbought and the RSI is still moving upwards. Regardless, the high RSI together with the trend position increases the risk and higher daily movements (volatility) should be expected. A correction down in the nearby future seems very likely, and it is of great importance that the currency pair manages to break the trend before that occurs.
Our recommended stop-loss: kr6.73 (-3.60%) (This currency pair has low daily movements and this gives low risk. The RSI14 is 83 and this increases the risk substantially. There is a buy signal from a pivot bottom found 51 days ago.)
Trading Expectations (USDDKK) For The Upcoming Trading Day Of Monday 24th
For the upcoming trading day on Monday, 24th we expect USD/DKK to open at kr6.97, and during the day (based on 14 day Average True Range), to move between kr6.95 and kr7.01, which gives a possible trading interval of +/-kr0.0278 (+/-0.40%) up or down from last closing price. If USD/DKK takes out the full calculated possible swing range there will be an estimated 0.80% move between the lowest and the highest trading price during the day.
Since the stock is closer to the support from accumulated volume at kr6.97 (0.12%) than the resistance at kr7.00 (0.35%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..
Is USD/DKK currency pair A Buy?
Several short-term signals are positive and we conclude that the current level may hold a buying opportunity, as there is a fair chance for USD/DKK currency pair to perform well in the short-term period.
Current score: 2.784 Buy Candidate Unchanged
Predicted Opening Price for USD/DKK of Monday, June 24, 2024
| Fair opening price June 24, 2024 | Current price |
|---|---|
| kr6.97 ( 0.0439%) | kr6.98 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for USDDKK
Fibonacci Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 7.01 | 0.415% |
| R2 | 6.99 | 0.240% |
| R1 | 6.99 | 0.131% |
| Price | 6.98 | |
| S1 | 6.96 | -0.219% |
| S2 | 6.95 | -0.327% |
| S3 | 6.94 | -0.503% |
Accumulated Volume Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 7.01 | 0.525% |
| R2 | 7.01 | 0.466% |
| R1 | 7.00 | 0.345% |
| Price | 6.98 | |
| S1 | 6.97 | -0.119% |
| S2 | 6.95 | -0.448% |
| S3 | 6.94 | -0.484% |
FAQ
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