EUR/NOK drops to lows in sub-9.00 levels, fresh 2016 low

The Norwegian Krone remains on a firm fashion this week, today dragging EUR/NOK to fresh lows in levels below the 9.00 limestone.

EUR/NOK lower on positive data

NOK gathered further buying interest after auspicious results from the Nordic economy showed the unemployment rate has ticked lower to a non-seasonally adjusted 2.8% during August, bettering expectations and lower than July’s 3.1%.

Furthermore, the Unemployment Change rose by 100.75K vs. forecasts for a rise to 101.28K and improving from July’s 100.85K, while the Norges Bank announced it will sell FX reserves on behalf of the government by NOK 900 million per day during October, keeping the trend unchanged since January.

The cross has now recovering some pips after reaching fresh 2016 lows in the 8.9830 region, levels last traded in August 2015.

EUR/NOK significant levels

As of writing the cross is losing 0.43% at 8.9934 facing the next support at 8.9837 (2016 low Sep.30) followed by 8.8167 (low Jul.16 2015) and then 8.6021 (low Jun.29 2015). On the other hand, a break above 9.1501 (high Sep.26) would open the door to 9.1877 (20-day sma) and then 9.3044 (high Sep.14).