Weekly Report 27 - 31 / December / 2010

The pair stabilized below the key descending channel's resistance level around 1.0165, alongside hovering below SMA 50 and thereby encouraging us to maintain previous expectations as the expected overall weekly trend is bearish initially targeting the psychological barrier 1.0000 and then paving the way towards 0.9925, followed by 0.9815. We may witness some fluctuation due to the positivity naturally, but keep in mind the importance of a downside trend continuing depending on the daily closing below 1.0165.

The trading range for today is among the key support at 0.9815 and the key resistance at 1.0285.

The short term trend is to the upside as far as 0.9925 remains intact with targets at 1.1485.

Previous Report

RecommendationBased on the charts and explanations above our opinion is selling the pair with the breach of 1.0000 targeting 0.9815 and stop loss above 1.0125, might be appropriate.