Weekly Report 27/12 -30/ 12/ 2011

The pair found strong support around 1.0185 where it is pushing the pair to the upside and preventing further downside movement, while Stochastic is pointing to the upside over four-hour basis and accordingly we hold onto our bullish expectations for this week targeting areas from 1.0360 then 1.0450, while breaching 1.0185 will force us to reassess the suggested upside move.

The trading range for this week is among the major support at 1.0070 and the major resistance at 1.0520.

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

Previous Report

RecommendationBased on the charts and explanations above we recommend buying the pair around 1.0185 targeting 1.0275 and 1.0365 and stop loss with four-hour closing below 1.0070 might be appropriate