Weekly Report 26/09 -30/ 09/ 2011

We can see a clear breach of 61.8% Fibonacci correction at 1.0300, affected by trading outside the descending channel as shown above, where the pair consolidated above 0.9970-1.0010. Now, we expect the upside movement to continue towards 76.4% Fibonacci correction at 1.0510, while our positive expectations remain strong as long as the pair is stable above the mentioned correction.

The trading range for this week is among the major support at 0.9970 and the major resistance at 1.0690

The short-term trend is to the downside as far as 1.0665 remains intact targeting 0.9000.

Previous Report

Support1.02901.02251.01851.01251.0085
Resistance1.03751.04001.05001.05501.0690
RecommendationBased on the charts and explanations above, we recommend buying the pair around 1.0290, and take profit in stages at (1.0400, 1.0510) and stop loss below 1.0185 might be appropriate