Weekly Report 20 - 24 / December / 2010

The pair strongly pushed to the upside touching the retest level for the previously breached ascending channel, which has currently turned into resistance at 0.9710. The importance of this return to this level as the bullish technical pattern is forming and its neckline is at the mentioned resistance level, where this paves the way to return within the ascending channel once again. The stochastic is showing negative signs that support this resistance's strength, alongside SMA it is facing at that level; therefore, we recommend keeping an eye on upcoming trading and daily reports in order to insure the upcoming direction more specifically. Meanwhile, we require a clear breach of this level to insure returning within the intraday bullish direction.

The trading range for today is among the key support at 0.9400 and the key resistance at 1.0000.

The short term trend is to the downside as far as 1.0330 remains intact with targets at 0.8000.

Previous Report

RecommendationBased on the charts and explanation above our opinion is observing the pair’s movement to insure its upcoming direction.