As widely expected, the Norwegian Central Bank raised it’s rates today from 4.25% to 4.5% triggering a jump to a 10 year high in the Krone. In my post earlier today, I suggested that a sort trade should be profitable, and following the huge fall in the last few minutes you should be sitting on some nice profits, having fallen from 8.042 just prior to the announcement to a level of 7.9666 currently.
Given the chart formations that I discussed this morning, I would suggest that you stay with this trade for a long term gain, rather than take any short term ‘profit’ – but this is up to you and your trading style. For those scalpers who trade the news, they will no doubt feel more comfortable closing out the trade and taking the profit off the table. Horses for courses as they say.