Weekly Report 4 - 8 / April / 2011

The pair returned to retest the broken rising wedge shown on the image above, where trading reversed after the strong resistance around 0.9330 that will cause the broken sideways rage's support level to touch 50% Fibonacci correction and support the rising wedge pattern previously highlighted. Stochastic headed to the downside and thus we expect a bearish trend this week starting targets around 0.9000, while requiring stability of closing below 0.9330.

The trading range for this week is among the key support at 0.8950 and the key resistance at 0.9415.

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

Previous Report

Support0.92350.91750.91050.90400.9000
Resistance0.92800.93300.93700.94150.9465
RecommendationBased on the charts and explanations above our opinion is selling the pair around 0.9245 targeting 0.9105 and stop loss above 0.9330, might be appropriate.