FX.co ★ Candlestick analysis of the USD/SEK for 07/10/2010

The USD/SEK currency pair makes a turnout after refreshing the new year low.
Earlier at 4-hour graph the USD/SEK had formed a combination of “Bearish Engulfing” candlesticks which gives a down-going signal. This candlestick was formed after that the currency pair rolled back to the upper bound of the downward trend. However, near 6.9240 the “bears” started increasing their presence.
Further downtrend means that this point of view is correct. The breakthrough of October minimum 2009 - 6.7472 targeted the currency pair to the range of 6.4420.
Worth pointing out that if the resistance level of 6.8240 is overcome then short positions should be closed, as the downside trend is broken through.