Weekly Report 14 - 18 / June / 2010

The pair attempting to surpass the previously breached neckline at 1.1480 - previous sideway support - although it was unable to build a base above it as trading is wedged between 1.1480 and 1.1425. The pair opened the week on a bearish gap but was able to directly cover it - shown in the image above -; therefore, pointing to ongoing negative pressure that is supported by negative signs appearingon Stochastic and thereby making us expect a bearish trend for this week starting with a clear breach of 1.1425, and heading towards 1.1330 then 1.1245 initially. Keep in mind that the breach of 1.1550 could lead the pair to turn into an ascend.

The trading range for this week is among the key support at 1.1180 and the key resistance at 1.1675.

The short term trend is to the upside as far as 1.0200 remains intact with targets at 1.2295.

Previous Report

Support1.14251.13301.13001.12451.1180Resistance1.14801.15501.16051.16751.1735RecommendationBased on the charts and explanations above our opinion is selling the pair with the breach of 1.1425 targeting 1.1245 and stop loss above 1.1550, might be appropriate.