Weekly Report 7 - 11 / March / 2011

After touching the symmetrical triangle's resistance level shown above, the pair moved to the downside towards this pattern's support around 81.60. Present trading is around the MA 50 forming good support preventing the bearish trend from continuing alongside stochastic. In overall, trading continued within the highlighted pattern and the stability appearing through its resistance makes us expect the bearish trend to continue this week, which initially breaches a clear level around 81.60 then pave the way towards 80.35 then 79.60. Note that these expectations depend on stability below 83.10.

The trading range for this week is among the key support at 79.60 and the key resistance at 83.75.

The short term trend is to the downside as far as 89.35 remains intact with targets at 77.70.

Previous Report

RecommendationBased on the charts and explanations above our opinion is selling the pair with the breach of 81.60 targeting 79.60 and stop loss above 83.10, might be appropriate.