Weekly Report March 28 - April 01 / 2011

According to the daily chart above (first image), the pair returned to trade above the previously broken key support level appearing above. Meanwhile, a rising wedge pattern highlighted in yellow has appeared, although through the second image for the four hour time frame trading is still within the upside channel that carries trading from 1.2870. Due to this upside channel, positive signs are appearing within momentum indicators. Note that there is a conflict in technical signs, which makes us recommend observing the pair's trading around the critical support level around 1.3970; where breaching is could mean strong signs that will reverse trading.

The trading range for this week is among the key support at 1.3860 and the key resistance at 1.4365.

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

Previous Report

RecommendationBased on the charts and explanation above our opinion is observing the pair’s movement and upcoming daily reports to insure its upcoming direction.