In This Issue:

EURUSD: Outlook Remains Higher Towards The 1.4719 Level - With continued upside gains seen the past week following its recent trigger of its medium term uptrend, outlook for higher upside gains remains towards its strong resistance at the 1.4719 level, its Dec 18’08 high.

GBPUSD: Nearer Term Weakness To Target The 1.6112 level - Declines through its medium term rising trendlinethe past week has now cleared the way for a retarget of the 1.6112 level, its Sept 02’09 low.


EURUSD

EURUSD

EURUSD: Outlook Remains Higher Towards The 1.4719 Level .

EURUSD - With continued upside gains seen the past week following its recent trigger of its medium term uptrend, outlook for higher upside gains remains towards its strong resistance at the 1.4719 level, its Dec 18’08 high. Although a rejection of that level was seen on Friday, as long as the mentioned medium term strength remains, EUR looks to break and hold above there. In such a case, the 1.4875 level, representing its Sept 21’09 high will be targeted ahead of the its psycho level at 1.5000. On the downside, further corrective pullback if seen will trigger declines towards the 1.4634 level, its Sept 11’09 high at first with a break and hold below there creating scope for further pressure towards the 1.4446 level, its Aug 09 high. This level is of significance in the pair’s current run to the upside, as it is expected to reverse roles and provide support. On the whole, having continued to print higher level prices, EUR remains poised to target additional upside gains.


GBPUSD

GBPUSD

GBPUSD: Nearer Term Weakness To Target The 1.6112 level.

GBPUSD - Declines through its medium term rising trendlinethe past week has now cleared the way for a retarget of the 1.6112 level, its Sept 02’09 low. This is coming on the back of a loss of upside momentum at the 1.6740 level, its Sept 11’09 high. With that said, breaking and holding below the 1.6112 level will put the pair in position to weaken further lower towards the 1.5982 level, which marks its July 08’09 and then the 1.6742 level, its July 30’09 high. Its weekly studies are bearish and pointing lower suggesting further weakness. To the topside, immediate support lies at its trendlinebreakout point at 1.6384 where a break will push the pair further higher towards the 1.6740 level, its Sept 11’09 high and then its YTD high residing at the 1.7041 level. Violating the latter level will resume its medium term uptrend now on hold. On the whole, with the pair being challenged reversing its previous week gains, potential exist for further downside weakness in the days ahead.