Euro vs. Great British Pound (2011-02-22)

By @ibtimes on

Morning Report

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The resistance line, which dominates the downside movements from the potential reversal zones of the double top Gartley pattern proved its solidity, sending the royal pair downwards as seen on the provided four hour chart. Furthermore, the pair fell freely below SMA 50, forming obvious negative candlestick formations and thus, we still believe that the bearish effect of the aforesaid harmonic formation is still in progress. A break of 0.8355 will trigger panic selling pressure, targeting 0.8235 as an extended technical objective of this efficient harmonic scenario.

The trading range for today is among the key support at 0.8295 and key resistance now at 0.8515.

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

Support0.83800.83550.83300.82950.8255Resistance0.84200.84450.84850.85150.8540RecommendationBased on the charts and explanations above our opinion is, selling the pair around 0.8410 targeting 0.8300 and stop loss above 0.8490 might be appropriate.

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