Morning Report

gbpjpy26_07_2011

The pair continues to trade within a sideway range which is controlling the pair's movement since the middle of the current month, where the pair touched the resistance level of the range this morning. In general, we still hold onto our negative intraday expectations for today, where the negatvitiy on stochastic in addition to the negative pressure from the 50 EMA are supporting the bearishness. Awaited targets initially at 125.65 and requires stability below 128.15

Trading range for the day is among the major support at 124.00 and the major resistance at 129.40.

The short term trend is to the downside targeting 112.00, as long as 150.00 remain intact.

Previous Report

Weekly Report

Support126.90126.65126.10125.65124.85
Resistance127.70128.15128.55129.00129.20
Recommendationbased on the charts and explanations above we recommend selling the pair around 128.15 targeting 125.65, stop loss above 129.40 OR selling oil with a breach of 126.65 targeting 124.85 and stop loss above 127.70 may be appropriate.