Morning Report

eurgbp09_02_2012

The pair continues to trade positively, moving away from the previously breached resistance level of the descending channel, approaching the retest level of the previously breached main support shown on the minor image. We are facing a technical conflict between the negativity seen on momentum indicators and the retest level at 0.8415, in addition to the positivity of breaching the resistance of the descending channel, while SMA 50 trades positively, in the time the pair could form a bullish double bottom structure. In result, we remain neutral, observing the pair is the critical areas between the support of 0.8170 and the resistance at 0.8550.

The trading range for today is among the major support at 0.8170 and the major resistance at 0.8550.

The short-term trend is to the upside as far as 0.8170 remains intact, targeting 1.0370.

Previous Report

Weekly Report

Support0.83200.82550.82000.81700.8100
Resistance0.84150.84400.84800.85500.8605
RecommendationBased on the charts and explanations above, we remain neutral awaiting more confirmations