EURO/STG

Mon, Nov 2 2009, 08:47 GMT
by Carol Harmer


EURO/STG

EUROSTG

Eur/Stg has a little base formation on it and the measured target from this base is 9094. Now this ties in with the short term 61.8 % fib level of 9116 so anywhere within this band is where little bit longer term traders will look to take profits. 

Short term resistance is at 9036. Initially buyers will look to take profits to here. They will wipe sellers aside above 9040 and progress higher with the 50% fib level of 9076 in their sights for the short term. Once more they will take profits. Re-instate longs above 9080 for 9094 to 9116 where sellers will once more be waiting. 

If 9036 holds the initial move higher look for a return to 8992/85 and possibly 8954/53. This should present quite good buying opportunities and it is only below 8925 that this bullish pattern will cease to be.