The technical indicators for the EUR/SEK reveal an impending retracement to the latest price downturn, but these signals appear weak.
As you can see on the chart below, the EUR/SEK has been in a long-term bearish channel, with few indications that this will come to an end any time soon.
Long-term indicators of direction still remain bearish. The Stochastic (slow) on the daily chart (below) and the weekly chart (not shown) both have the price above the over-sold region, suggesting further room for downward maneuverability.
However, momentum indicators, such as the Williams Percent Range and Relative Strength Index (RSI) are beginning to drop into the over-sold region, suggesting a build-up of buy pressure.
Adding these two signals together suggests the long-term trend on this pair will remain bearish, but we could see a retracement over the next few weeks, targeting the 8.8000 price mark - but likely falling short before continuing the bearish run.
EUR/SEK - Daily Chart