With a reversal of its Tuesday gains seen during Thursday trading session, pressure is now building up on its key resistance at the 0.9081/0.9111 levels, its Oct 20/12'2011 highs. This is coming on the back of its corrective recovery tone set from the 0.8568 level in late Oct'2011. However, the bigger resistance stands at the 1.9316 level, its Oct'2011 high where a break will annul its entire correction and bring further strength towards the 0.9400 level, its psycho level. A breach of here will create scope for further upside towards the 0.9503 level, its Feb 22'2011 high. Alternatively, the risk to our analysis will be a return below the 0.8568 level, its Oct 27'2011 low with a violation o f there allowing for further declines towards its psycho level at 0.8400 level. All in all, the pair looks to recover higher on ending its bear threats.
Join the Discussion