Morning Report

gbpjpy28_07_2011.gif

The pair continues to trade among the range bound shown in image, where it's heading toward the support of the range at 126.65 after testing the resistance of the range at 128.15. Trading below the 50 EMA adds more negativity to intraday trading, and therefore, we hold onto our negative expectation for the pair today which requires a clear breach of the aforementioned support and stability below 128.15, and targeting initially 125.65.

Trading range for the day is among the major support at 124.00 and the major resistance at 129.00.

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
Resistance127.65128.15128.55129.00129.20
RecommendationBased on the charts and explanations above we recommend selling the pair around 128.15 targeting 125.65, stop loss above 129.40