Weekly Report 10/10 -14/ 10/ 2011

The pair is still trapped within the sideways trading areas between 76.55 and 76.95 as seen on the provided four-hour graph. Stochastic continues giving different signs with every attempt to attack one of the aforesaid levels; whilst MACD is neutral and couldn't give a clear signal. Henceforth, we will continue staying aside for the time being; noting that a break of 76.95 will trigger a panic buying pressures since the pair consolidates above 23.6% Fibonacci of CD leg for the bullish harmonic AB=CD pattern. A break below 75.90-75.80 will damage this pattern completely.

The trading range for this week is among key support at 75.25 and key resistance now at 79.55.

The general trend over short term basis is to the upsidetargeting 87.45 as far as areas of 75.20 remain intact.

Previous Report

RecommendationBased on the charts and explanations above our opinion is, staying aside until an actionable technical setup presents itself to pinpoint the next big move.