Weekly Report 16/04 -20/04/ 2012

The pair found strong support at the 78.6% Fibonacci level to rebound and retest the breached support at 1.0005, meanwhile stochastic has entered overbought area. In general, stability below this breached support favors further downside pressure this week targeting mainly 0.9905 and 0.9800, taking into consideration that breaking 1.0005-1.0030 could reverse the short term outlook into bullish.

The trading range for this week is expected among the key support at 0.9780 and resistance at 1.0100.

The short term trend is to the upside targeting 1.0650 with steady weekly closing above 0.9880.

Previous Report

Support0.99600.99000.98650.98450.9815
Resistance1.00051.00301.00701.01001.0180
RecommendationBased on the charts and explanations above, our opinion is selling the pair below 1.0005 , and take profit in stages at (0.9905 and 0.9865) and stop loss above 1.0050 might be appropriate