Weekly Report(12-16 Dec 2011)

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The support of the side-ways range at 0.8525 continues to push the pair to the upside halting further decline, where daily closing remain steady above the level supported by positivity on stochastic over daily basis, therefore, we expect a bullish move this week, targeting mainly 0.8635 followed by testing the 0.8685 resistance, taking into consideration that a daily closing below 0.8525 will push us to reconsider the bullish scenario.

The trading range for the week may be among the 0.8385 support and 0.8765 resistance.

The short term trend is to the downside targeting 122.00 so long as 150.00 remain intact.

Previous Report

Support0.85250.84600.84150.83850.8300
Resistance0.86000.86350.86800.87200.8765
RecommendationBased on the charts and explanations above we recommend buying the pair around 0.8525 targeting 0.8685, stop loss with four-hour closing below 0.8460 may be appropriate