Flash: Looking at a long position in EUR/SEK - RBS

FXstreet.com (Barcelona) - With EUR/SEK last at 8.5916, off Tuesday's weekly high at 8.6570, the highest since early Feb, and still slightly into the positive for the week, RBS FX Trading Strategist Greg Gibbs thinks is a worth looking long trade. “It’s not in my normal comfort zone, but a trade I am looking at is long EUR/SEK,” Greg says, adding: “This is because we are seeing a persistent move towards less fear of a EUR crisis,” he notes.

As he also states, “part of the reason for a weaker AUD is less safe haven demand,” which in his view, “The same is true for SEK which has acted as a haven from EUR crisis risk.”

“EUR/SEK is exhibiting the early signs of diverging from a long held down-trend,”Mr Gibbs expands, with “Recent indicators in SEK also suggest its economy under-performing,” the analysts concludes.