Weekly Report 12 - 16 / July / 2010

The main resistance 1.5240 showed a strong stance in front of the pair's bullish trend and this forcing it to descend and retest 61.8% Fibonacci that has currently turned into support at 1.5005, while meeting withSMA 100. Momentum indicators are showing oversold signs, thereby making us expect a bullish trend for this week; targeting primarily reaching 1.5220 then attempting to breach it to pave the way towards more ascending movement, reaching 1.5360 as a key second target. The daily closing below 1.4960 will weaken chances of achieving the expected bullish trend.

The trading range for today is among the key support at 1.4855 and the key resistance at 1.5450.

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

Previous ReportSupport1.50051.49601.49151.48601.4770Resistance1.50751.51151.51951.52201.5270RecommendationBased on the charts and explanations above our opinion is buying the pair around 1.5005 targeting 1.5220 and stop loss below 1.4915, might be appropriate.