Weekly Report 22 - 26 / February / 2010

The pair isapproaching support for the ascending short term channel at 1.0715, while ongoing negative pressure is bearish and makes us expect more bearish correction for this week; targeting initially 1.0605 - 38.2% Fibonacci correction - then 1.0515. Momentum indicators support these expectations which require the breach of 1.0715 and trading remaining below 1.0855.

The trading range for today is among the key support at 1.0420 and the key resistance at 1.1025.

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 selling the pair with the breach of 1.0715 targeting 1.0605 and stop loss above 1.0785, might be appropriate.