Weekly Report 27/12 -30/ 12/ 2011

The pair is fluctuating narrowly since last week, and we expect trading volumes to continue at lower levels this week as well, however, we advise being carful as we might see sudden sharp moves. In general, the pair continues to consolidate above 1.3000 level, while Stochastic is neutral, the range-trading stance is expected to continue this week, where upside attempts should be limited to 1.3200 swing high. To the downside; a breach below 1.3000 may lead to another test of 1.2945 low.

The trading range for this week is among the major support at 1.2790 and the major resistance at 1.3400.

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

**New York Candlesticks**

Previous Report

RecommendationBased on the charts and explanations above our opinion is, selling the pair around 1.3200 targeting 1.3120 and 1.3020, stop loss four-hour closing above 1.3235 might be appropriate.