Morning Report

eurgbp03_08_2011

Another daily closing below the neckline for the bearish technical pattern at 0.8750, in addition to stability below the support of the rising wedge formation shown in image. Accordingly we expect intraday bearishness today targeting mainly 0.8555-0.8540. The 50 EMA supports the negative expectations, which requires stability below the 0.8775-0.8750 resistance level.

Trading range for the day is among the major support at 0.8555 and the major resistance at 0.8820.

The short term trend is to the upside targeting 1.0370, as long as 0.8165 remain intact.

Previous Report

Weekly Report

Support0.87000.86650.86150.85800.8555
Resistance0.87500.87750.88200.88900.8940
RecommendationBased on the charts and explanations above we recommend selling the pair around 0.8750 targeting 0.85555 and stop loss above 0.8825 may be appropriate.