Weekly Report 27 - 31 / December / 2010

The pair continues within the short term direction channel, while stabilizing below the previously breached pivotal support level around 1.3180 and alongside building a base below SMA 50. Thiskeeps the pair's negative pressure intact; therefore, we expect an overall bearish trend this week targeting initially levels 1.2915, followed by1.2795, but keep in mind the breach of 1.3255 will pave the way towards the bearish trend and in front of targeting initially1.3500.

The trading range for today is among the key support at 1.2795 and the key resistance at 1.3265

The short term trend is to the upside as far as 1.2795 remains intact with targets at 1.5135.

Previous Report

Support1.31201.30551.30001.29651.2915
Resistance1.31801.32551.33001.33701.3420
RecommendationBased on the charts and explanations above our opinion is selling the pair around 1.3180 targeting 1.2915 and stop loss above 1.3255, might be appropriate.