Weekly Report March 28 - April 01 / 2011
According to the daily chart above, the pair traded above the downside channel's resistance; whereas, SMA is forming resistance that will impede resuming more upside movement. Stochastic is showing bullish movement and thereby we expect to witness some upside movement within the upcoming few days, targeting the retest level for critical resistance levels specifically the psychological barrier around 1.0000. Note that if the pair returned below the downside channel's resistance level, chances of resuming the expected scenario and help the pair return within the bearish trend once again will weaken.
The trading range for this week is among the key support at 0.9600 and the key resistance at 1.0000.
The short term trend is to the upside as far as 1.0665 remains intact with targets at 0.9000.
Previous ReportSupport0.98000.97250.96650.96150.9550Resistance0.98400.99150.99601.00001.0055RecommendationBased on the charts and explanations above our opinion is buying the pair around 0.9800 targeting 1.0000 and stop loss below 0.9725, might be appropriate.