Weekly Report 26 - 30 / July / 2010

The pair is trading within a sideway range since the middle of this month, where it has stabilized below 61.8% Fibonacci correction that had been previously breached at 1.0610.Stochastic is gradually nearing overbought areas and therefore we expect an exit near the current sideway range by breaching its support at 1.0395. IN overall, we can expect a bearish trend this week that targets 1.0200 chiefly and requires the daily closing to remain below 1.0670.

The trading range for today is among the key support at 1.0200 and the key resistance at 1.0770.

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

Previous ReportSupport1.04951.04501.03951.03501.0320Resistance1.05601.06101.06701.07001.0750RecommendationBased on the charts and explanations above our opinion is selling the pair around 1.0560 targeting 1.0395 and stop loss above 1.0670, might be appropriate.