Weekly Report 11/04 -15/ 04/ 2011
It seems as if we draw the four hour graph together as the royal pair is still respecting the harmonic scenario of 5-0 pattern as well. As we discussed several times before, this pattern always send the price towards the extended Fibonacci levels of its CD leg and we can see how Fibonacci of 261.8% has been penetrated already and therefore, we are suggest more bullishness during this week towards 361.8% projection of CD at 0.8950 and a break of which will send the royal pair higher towards 0.9030 zones. SMA 50 is carrying the harmonic uptrend from below.
The trading range for this week is among the key support at 0.8630 and key resistance now at 0.9070.
The general trend over short term basis is to the downside, targeting 0.7780 as far as areas of 0.8965 remain intact.
Support0.88200.87800.87300.87150.8700Resistance0.88700.89100.89500.90000.9030RecommendationBased on the charts and explanations above our opinion is, buying the pair around 0.8820 targeting 0.9030 and stop loss below 0.8680 might be appropriate.