I always call this the knock! – actually it is the Norwegian Krone as opposed to the Danish Krone DKK. If we look at the monthly charts to start with, we can see that there has been 4 months of indecision, represented by dojis, followed by a down bar for this month. Moving to the weekly charts, we see this movement expanded with almost 6 months of prices going nowhere. With the pair currently trading at 8.0298, it seems that prices have now penetrated the support levels of 8.100, and this has now become resistane to a move upwards. In addition the 50 and 20 day averages have also crossed indicating a change in direction.
On the daily chart, the same picture emerges, and this now looks like an oportunity to short the pair. However, if you are going short, make sure it is a longer term trade, as on the hourly charts, prices have moved up for the last few days and the 50 and 100 averages have crossed temporarily. It looks like a good opportunity to open the trade at this level and to benefit from a fall in the next period.