Weekly Report 08-12 / 03 / 2010

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The royal pair has lost its upside momentum and it seems that the potential reversal zones of the bearish harmonic formation at 0.9140, seen on the provided daily chart has been activated; coming beneath the key support of 0.9070-turned into resistance- has added further confirmation for this bearishness. Meanwhile, potential downside actions could be witnessed during this week, whilethe Stochastic supports our negative speculation.

The trading range for this week is among the key support at 0.8760 and key resistance now at 0.9235.

The general trend is to the upside as far as 0.8020 area remains intact with targets at 1.0000 followed by 1.0400 levels.

Previous Report

Support0.90000.89350.88850.88300.8760
Resistance0.90700.91400.91800.92050.9235
RecommendationBased on the charts and explanations above our opinion is, selling the pair from 0.9030 targeting 0.8840 and stop loss above 0.9140 might be appropriate.