Macro trade: Buying NOK - enough is enough.....

TRADE: Sell EURNOK here @ 8.5200.

Enough is enough. I have bought EUR put NOK call, strike 8.2000 expiry: 19-FEB for 177 pips.

Norway has been hurt from anti-safe haven outflow as investors have moved money from new Switzerland of Norway and Sweden to Spain and Club Med. Spread Germany vs. Spain was year low yday and EURNOK year high. The world is simple, but let's look at some fundamentals:

Norway GDP +2.0% / Spain: -1.30%,

Norway C/A Surplus +13% / Spain +1.1,

Norway unemployment 3.55% / Spain 26.5%

 

 

Need me to continue?

NOK & SEK is high risk currencies in terms of volatility hence my trade through options. Remember Scandies moves fast both ways.

 

Latest speech by Governor Øystein Olsen in Bergen on Dec-9^th 2013: Outlook for the Norwegian and the international economy

 

 

 

 

Med venlig hilsen  |  Best regards
Steen Jakobsen  |  Chief Investment Officer

 

Saxo Bank A/S  |  Philip Heymans Allé 15  |  DK-2900 Hellerup
Phone: +45 39 77 40 00  |  Direct: +45 39 77 62 23  |  Mobile: +45 51 54 50 00

 

Research: http://www.tradingfloor.com/traders/steen-jakobsen

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