Weekly Report 26/03 -30/03/ 2012

One more long upper shadow was formed at the closing of the previous week and it forced the pair to close negatively below the key resistance levels between 1.5890 and 1.5925 as seen on the provided daily chart. Meanwhile, the negativity on Stochastic remains unchanged; thus, we still see chances for achieving potential downside actions during this week. Breaching through 1.5780 should be witnessed to confirm the scenario while taking the psychological level of 1.6000 will give us a rational technical reason for pause.

The trading range for this week is among key support at 1.5515 and key resistance at 1.6165.

The general trend over short term basis is to the downsidetargeting 1.4225 as far as areas of 1.6875 remain intact.

Previous Report

RecommendationBased on the charts and explanations above our opinion is, selling the pair below 1.5820 targeting 1.5560 and stop loss above 1.5995 might be appropriate.