FxNews—In September 2024, Denmark’s annual inflation rate slightly decreased to 1.3% from 1.4% in August. This drop was primarily influenced by reduced growth in housing and utility costs, which fell to 2.5% from 3.3%.
Denmark’s Household Equipment Costs Fell By 3% from 3.7%
Transportation costs decreased by 2.8% compared to just a 0.7% reduction. Additionally, furnishings, household equipment, and routine maintenance costs decreased by 3% from a previous 3.7%. Communication costs remained stable, with a decline of 0.9%.
Health and Food Costs Rise
Conversely, prices for food and non-alcoholic beverages rose to 2.7% from 1.8%, and health sector costs increased significantly to 2.9% from 1.5%. Prices increased in restaurants and hotels (1.8% from 1.6%) and miscellaneous goods and services (2.1% from 2%). Clothing and footwear prices recovered by 1% after a 1.9% decline.
Consumer prices fell by 0.3% in September, marking the second consecutive month of decline after a 0.4% drop in August.
Core inflation in Denmark, which excludes volatile items like energy and unprocessed food, increased to 1.6% in September, up from 1.2% in the preceding month.
USDDKK Technical Analysis – 17-October-2024
The U.S. dollar trades a robust uptrend against the Danish Krone, breaking above the 61.8% Fibonacci retracement level at 6.86. The primary trend is bullish, but the USD/DKK pair is overbought since the momentum technical tools indicate so.
- Relative Strength Index or RSI 14 shows 72 in the description, meaning the U.S. dollar is overpriced.
- The Stochastic Oscillator records 93 in the description, backing the RSI 14’s overbought signal.
Overall, the technical indicators suggest the primary trend is bullish, but USD/DKK can potentially consolidate near the lower support levels.
USDDKK Forecast – 17-October-2024
It is not advisable to join a bull market when it is saturated with buying pressure. Hence, we suggest retail traders and investors wait patiently for the USD/SGD price to consolidate near the 50% Fibonacci retracement level. This supply area offers a decent bid to join the bull market.
USDDKK Support and Resistance Levels – 17-October-2024
Traders and investors should closely monitor the key levels below to make informed decisions and adjust their strategies accordingly as market conditions shift.
- Support: 6.86 / 6.820 / 6.78
- Resistance: 6.89 / 6.92
J.J Edwards is a finance expert with 15+ years in forex, hedge funds, trading systems, and market analysis.
