Weekly Report 12/12 -16/ 12/ 2011

The pair attempted to settle above 1.3380 and 1.3435, yet it failed, which triggered an intraday descending channel shown above in red, noting that the channel's resistance stands at 1.3420. The pair is currently stable below 78.6% Fibonacci correction, which could force more downside pressures on the pair to retest areas around 1.3270 and maybe covering the opening seen earlier at 1.3232. But at the same time, the pair formed a falling wedge pattern -bullish technical pattern-, which drives us to remain neutral in our weekly report, awaiting further confirmations regarding the pair's next move.

The trading range for this week is among the major support at 1.3000 and the major resistance at 1.3665.

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

Previous Report

RecommendationBased on the chart and explanations above we remain neutral awaiting more confirmations