Weekly Report 20 - 24 / December / 2010

The pair has not witnessed any major changes in recent trading, where it continues fluctuating around SMA 50 within the upside channel organizing the ascend over an intraday basis. Attempts of breaching pivotal resistance 84.25 are continuing, where momentum indicators are presently neutral. We may witness fluctuations until positive momentum supports the breach of the mentioned resistance level, and then resume the expected bullish direction this week starting initial targets around 85.95. Note that breaching 83.30 and building a base below it could postpone achieving this scenario.

The trading range for today is among the key support at 81.90 and the key resistance at 86.25.

The short term trend is to the downside as far as 91.55 remains intact with targets at 77.70.

Previous Report

Support83.7583.3082.5581.9081.65
Resistance84.2585.0085.9586.2586.90
RecommendationBased on the charts and explanations above our opinion is buying the pair with the breach of 84.25 targeting 85.95 and stop loss below 83.15, might be appropriate.