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Daily Reports  Wednesday September 8 , 2010 06:05 GMT
Technical Cross
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Great British Pound vs. Japanese Yen (GBP / JPY)


Morning Report

 

The pair closed negatively below 128.75 yesterday, although we are facing yesterday's detected critical areas around 127% Fibonacci level of BC leg of the bullish harmonic AB=CD pattern. This level is dangerous since it might take the pair in a recovery trip towards 130.50 zones. Conversely, a four-hour candlestick closing below 127.80-128.00 will take the pair directly towards 161.8% Fibonacci of BC leg at 126.70. Open your chart and have a look at the low of 20th of May and thus these factors argue us to stay aside today and watch out together the price behavior around the current level.

The trading range for today is among key support at 125.50 and key resistance at 131.65.

The general trend over short term basis is to the downside, targeting 118.80 as far as areas of 150.75 areas remain intact.

Previous Report

Weekly Report



Support128.00127.80127.40126.80125.50

Resistance128.75129.45130.00130.55131.00

RecommendationBased on the charts and explanations above our opinion is, staying aside until we catch a significant sign to pinpoint the coming big move.


Euro vs. Japanese Yen (EUR / JPY)


Morning Report

 

The 76.4% retracement that created AB leg is to offers a bullish harmonic butterfly probability with potential reversal zones around 104.30. My dear reader, this previous sentence could make you suggest a bearish trend that targets 104.30, but actually 88.6% Fibonacci of XA stands as a buying wall; therefore prevented the pair from achieving a four hour closing below it. Additionally, Stochastic overlapped positively after completing a bullish harmonic formation. Hence, our outlook will be neutral today until we see if the pair intends to complete the potential butterfly or it will bounce earlier.

The trading range for today is among key support at 104.30 and key resistance now at 108.50.

The general trend over short term basis is to the downside, targeting 97.90 as far as areas of 132.50 remain intact.

Previous Report

Weekly Report



Support106.20105.90105.40104.95104.30

Resistance106.90107.30107.60108.00108.50

RecommendationBased on the charts and explanations above our opinion is, staying aside until we catch a significant sign to pinpoint the coming big move.


Euro vs. Great British Pound (EUR / GBP)


Morning Report

 

The Royal pair collapsed, respecting our suggested bearishness that we showed in the opening of this week. The pair reached 61.8% Fibonacci of the CD leg around 0.8245 and that is why we need a breakout below it to make sure that the bearish harmonic formation could take the pair to the downside more towards the full correctional levels around 0.8180. The secondary image of the log black candlestick of the daily chart could assist it to breach the aforesaid level. Potential downside movements could be seen today but not before breaching 0.8245.

The trading range for today is among the key support at 0.8140 and key resistance now at 0.8360.

The general trend over short term basis is to the downside, targeting 0.7780 as far as areas of 0.8965 remain intact.

Previous Report

Weekly Report



Support0.82450.82150.81800.81400.8110

Resistance0.82950.83200.83600.83800.8400

RecommendationBased on the charts and explanations above our opinion is, selling the pair with a breakout below 0.8245 targeting 0.8150 and stop loss above 0.8320 might be appropriate.


 
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