Weekly Report01 -05 /02 / 2010

The pair was able to breach the neckline for the bullish technical pattern at 1.0540; therefore insuring the bullish short term direction continuing. Momentum indicators are showing negative signs that might force the pair to bullishly correct to retest thebroke pivotal level before continuing the expected bullish short term direction for this week; targeting 1.0940 and essentially requiring the daily closing above 1.0440.

The trading range for today is among the key support at 1.0340 and the key resistance at 1.0940.

The general trend is to the downside as far as 1.1225 remains intact with targets at 0.9600.

Previous Report

RecommendationBased on the charts and explanations above our opinion is buying the pair from 1.0540 targeting 1.0700 and stop loss below 1.0440, might be appropriate.