Weekly Report 09 - 13 / August / 2010

The pair continued its bearish direction due to support from the bearish technical pattern forming at 85.70; whereas current trading has stabilized within the bearish channel represented in the current bullish short term trend. Momentum indicators are showing oversold signs that may push to retest the broken neckline, but in overall we can expect abearish direction this week that targets 84.75 then 82.50. Keep in mind that these expectations require a base to be built below 86.35.

The trading range for today is among the key support at 82.50 and the key resistance at 87.00.

The short term trend is to the downside as far as 91.55 remains intact with targets at82.60.

Previous Report

RecommendationBased on the charts and explanations above our opinion is selling the pair around 85.70 targeting 84.75 and stop loss above 86.35, might be appropriate.