Euro vs. Great British Pound (2011-02-15)

By @ibtimes on

Morning Report

eurgbp15

The royal pair consolidates around 76.4% of the bearish harmonic structure, which sent the pair towards these levels. We should note that a positive sign started to appear on Stochastic, while it couldn't breach 0.8410-0.8370 during the previous days. Therefore, potential upside wave may start as the pair couldn't breach 0.8370 zones. Now, we have a probability of forming the CD leg of a bat pattern with PRZ at 88.6% at 0.8665. A four our closing above 0.8460 is needed to confirm our anticipations without ignoring that a break of 0.8370 will negate this outlook.

The trading range for today is among the key support at 0.8290 and key resistance now at 0.8635.

The general trend over short term basis is to the downside, targeting 0.7780 as far as areas of0.8965remain intact.

Previous Report

Weekly Report

Support0.84100.83700.83300.82900.8245Resistance0.84600.84800.85050.85400.8590RecommendationBased on the charts and explanations above our opinion is, closing our yesterday's suggested position then buying the pair with a four hour closing above 0.8460 targeting 0.8665 and stop loss with a four closing below 0.8370 might be appropriate.

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