Weekly Report08 -12 / February / 2010

The pair is attempting, once again, to breach support 1.0235 that follows the sideway direction that has started from the bottom, which has started on 15/October/2009 and is presently continuing. The bearish technical pattern is giving off a possibility of the pair succeeding in this mission, where insuring signs of the bearish trends incline strength on the ADX. Meanwhile, the stochastic is showing oversold signs that could cause uncertainty in trading, as well as extremely volatile trading. We expect a bearish direction but werecommend following 1.0235, where if the pair fails to breach it could retest neckline levels for the classical bearish technical pattern at 1.0380 at least.

The trading range for today is among the key support at 0.9930 and the key resistance at 1.0565.

The general trend is to the downside as far as 1.1870 remains intact with targets at 1.0000.

Previous Report

RecommendationBased on the charts and explanations above our opinion is selling the pair from 1.0380 targeting 1.0155 and stop loss above 1.0480, might be appropriate.