Weekly Report

eurgbp26_03_2012

The royal pair is still stable above the support of the ascending channel but around a strong resistance formed by SMA 50, which prevents the upside move from extending so far. In general, we expect an upside move in the coming period, supported by the strength of the mentioned support. Our main targets are at the pivotal resistance of 0.8455 and then 0.8495. Consolidation above 0.8330 is necessary for our expectations to prevail.

The trading range for this week is among the major support at 0.8200 and the major resistance at 0.8500.

The short-term trend is to the upside as far as 0.7785 remains intact, targeting 1.0370.

Previous Report

Support0.83300.82550.82000.81700.8100
Resistance0.83650.84550.84950.86600.8720
RecommendationBased on the chart and explanations above, our opinion is buying the pair around 0.8330, targeting 0.8455 and 0.8495 and stop loss below 0.8255 might be appropriate.