Weekly Report 5 - 9 / July / 2010

The pair continues its bullish trend nearing key resistance currently around 1.5270, although 76.4% Fibonacci correctional levelis impeding achieving more upside movement. Momentum indicators are showing negative signs, where we expect the pair to achieve some minor bearish activity to gather some bullish momentum that will assist the pair resume trading within the ascending short term channel, then attack the mentioned key resistance level. We expect a bullish trend this week that will resume chiefly the breach of 1.5270 that will pave the way towards 1.5500. Keep in mind the importance of building a base above 1.5010 to insure that these expectations prevail.

The trading range for today is among the key support at 1.5010 and the key resistance at 1.5500.

The short term trend is to the downside as far as 1.5590 remains intact with targets at 1.3800.

Previous ReportSupport1.51301.50501.50101.49801.4925Resistance1.51951.52301.52701.53101.5370RecommendationBased on the charts and explanations above our opinion is buying the pair around 1.5130 targeting 1.5370 and stop loss below 1.5010, might be appropriate.