Euro vs. Great British Pound (2010-05-28)

The trading range areas still dominates the movements of the royal pair as seen on the main chart, where it found a very solid support around 0.8420 zones yesterday. The secondary image shows that yesterday's captured positive divergence of the four-hour interval is still efficient and thus; possible bullishness could be seen over intraday basis. A break of 0.8500 zones is needed to confirm our positive overview.

The trading range for today is among the key support at 0.8380 and key resistance now at 0.8700.

The general trend over short term basis is to the upside, targeting 0.9720 as far as areas of 0.8400-0.8380 remain intact.

Weekly Report Previous Report

Support0.84200.84000.83800.83600.8345Resistance0.85000.85500.85800.86050.8635RecommendationBased on the charts and explanations above our opinion is, buying the pair with a breakout above 0.8500 targeting 0.8635 and stop loss below 0.8400 might be appropriate.