Weekly Report 8 - 12 / February / 2010

The euro versus dollar succeeded in achieving the awaited descend from last week's reports, touching support for the descending channel, shown above. positive signs are appearing through momentum indicators, in addition to the current strength of support that makes us expected a bullish correction for this week; targeting initially 1.3855 and might extend to 1.4000. Keep in mind that this ascend is considered to be a correction if 1.4120 is not breached; therefore paving the way for a short term direction rebound to the upside.A breakout of1.3480 will gain the bearish direction some speed.

The trading range for today is among the key support at 1.3360 and the key resistance at 1.4055.

The general trend is to the upside as far as 1.3480 remains intact with targets at 1.6000.

Previous Report

Support1.36001.35401.34801.33601.3270
Resistance1.37401.38001.38551.39251.4000
RecommendationBased on the charts and explanations above our opinion is to avoid trading awaiting more confirmation signs for the pair’s direction, might be appropriate.