Morning Report

eurgbp14_03_2012

The pair returned to decline again, reflecting the downside pressures forced on the pair, where it is trading now near the support of ascending minor channel, which might form a bearish continuation flag pattern in case the pair succeeded to breach the mentioned support at 0.8310. In general, the negative signs seen on Stochastic and stability below SMA 50 drive us to expect a downside movement today, which depends on a breach of 0.8310 and stability below 0.8375.

The trading range for today is among the major support at 0.8170 and the major resistance at 0.8445.

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

Previous Report

Weekly Report

Support0.83100.82550.82000.81700.8100
Resistance0.83750.84450.85000.85250.8605
RecommendationBased on the chart and explanations above, our opinion is selling the pair with 4-hour closing 0.8320, targeting 0.8170 and stop loss above 0.8385 might be appropriate.