Euro Technical Major Currencies (2011-08-12)

By @ibtimes on

Morning Report

The pair is fluctuating heavily within sideway range, which is limited between 23.6% and 61.8% Fibonaccilevels of the CD leg of the bullish harmonicBat pattern, in addition, this sideway range is above point D of the Bat pattern and also above point (3) of the Three Drivers pattern. We still expect positivity due to the harmonic patterns' effect; however, Stochastic is negative along with ADX indicator. Therefore, 4-hour closing above 1.4255 is required to confirm the bullishness, while stability with 4-hour closing below 1.4120 should activate the downside movement.

The trading range for today is among the major support at 1.3910 and the major resistance at 1.4490

The short-term trend is to the upside with steady daily closing above 1.2795 targeting 1.5135.

Previous Report

Weekly ReportSupport1.41501.40701.40351.39701.3910Resistance1.42051.42551.43001.43701.4410RecommendationBased on the charts and explanations above we recommend buying the pair around 1.4225 and take profit in stages at (1.4300, 1.4370 and 1.4455) and stop loss with 4-hour closing below 1.4120, OR, selling the pair at 1.4120 and take profit in stages at 1.4035, 1.3970 and 1.3910 and stop loss with 4-hour closing above 1.4255 might be appropriate.

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