Weekly Report 21 - 24 / 12 / 2009
The dollar versus swissy touched pivotal resistance to determine the short term direction and insure the bullish direction around 1.0500. We also notice through the daily chart above that the pair is starting its bearish correction due to pressure by negative signs that are appearing on momentum indicators; thus, the ridding of negative momentum is needed to resume the bullish direction once again. From here, we expect an overall bullish direction for this week which will build its base on 1.0280 and head to target 1.0700 and then 1.1000 mainly. The MA's 50 and 100 today are supporting the bullish direction, which require 1.0140 to remain intact for it to prevail.
The trading range for this week is among the key support at 1.0055 and the key resistance at 1.1000.
The general trend is to the downside as far as 1.1225 remains intact with targets at 0.9600.
|Recommendation||Based on the charts and explanations above our opinion is buying the pair from 1.0280 targeting 1.0550 and stop loss below 1.0140, might be appropriate.|