Weekly Report (17-21 October 2011)
The pair maintains stability above the 50 EMA and the resistance of the previously breached descending channel, therefore, we will continue to expect a bullish bias for the week to continue the overall uptrend which was stopped for a the last bearish correction which settled for 0.8530 levels. The expected targets reside at 0.8900 and 0.9035. Steady daily closing above 0.8725 for our expectations to remain valid.
The trading range for the week may be among the 0.8625 support and 0.9035 resistance.
The short term trend is to the upside targeting 1.0370 so long as 0.8165 remain intact.
|Recommendation||Based on the charts and explanations above we recommend buying the pair around 0.8725 targeting 0.8900 and stop loss below 0.8615 may be appropriate.|