Weekly Technical Strategist

• EURUSD: Further Upside Offensives Highlight The 1.4363 Level.
• GBPUSD: Sustaining Gains With Eyes On Further Upside.

EURUSD

As a combination of both the monthly and weekly price strength have driven the pair through key resistance levels including its big psycho level at 1.4000, risk of further upside gains has turned towards the 1.4363 level, its Dec 29'09 high. EUR which is also supported by its pattern of higher highs and higher lows on the weekly chart, should eventually retarget its bigger overhead resistance level residing at the 1.4719 level, its Dec 18'09 high on taking out the 1.4353 level. Beyond the former will pave the way for a run at the 1.4867 level, its Sept 22'08 high. Its weekly and monthly momentum indicators are pointing higher suggesting further upside gains. However, while corrective pullbacks can not be ruled out following its current upmove, if that occurs, we expect its May 22'09 high/big psycho level at the 1.4054/00 levels to provide initial support . Below there if seen should open the door for further lower prices push towards the 1.3793 level ,its May 28'09 high and then the 1.3738 level, representing its Mar 19'09 high. The latter level is expected reverse roles and provide support if tested. On the whole, with its upside resumption triggered, the 1.4353 level is now being eyed.

Directional Bias:
Nearer Term –Bullish
Short Term –Bullish
Medium Term –Mixed

Performance in %:
Past Week: +1.14%
Past Month: +6.89%
Past Quarter: -3.33%
Year To Date: +1.33%

Weekly Range:
High -1.4169
Low -1.3793

GBPUSD

With the pair closing higher for the week and maintaining its short term upside since decisively invalidating the 1.5374 level, its Jan 08'09 high and the 1.5724 level, its Dec 17'08 high, additional upside gains are now beckoning with the 1.6399 level, its Nov 03'08 high. The weekly RSI which is currently bullish and trending higher remains supportive of this view. Other resistance levels are located the 1.6673 level, its Oct 30'08 high and then the 1.7518 level. On any pullbacks from its present price level, the 1.5724 level, its Dec 17'08 high will be targeted at first followed by the 1.5374 level, its Jan 08'09 high. These levels should provide support and turn the pair higher again. All in all, having continued to sustain its current upside momentum.

Directional Bias:
Nearer Term -Bullish
Short Term –Bullish
Medium Term –Mixed

Performance in %:
Past Week:: +1.61%
past Month: +9.39%
Past Quarter: -1.86%
Year To Date:: +10.63%

Weekly Range:
High -1.6199
Low -1.5778

Mohammed Isah
Market Analyst
www.fxtechstrategy.com

This report is prepared solely for information and data purposes. Opinions, estimates and projections contained herein are the author's own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed to be reliable but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which the author incur any responsibility. The does not accept any liability whatsoever for any loss arising from any use of this report or its contents. This report is not construed as an offer to sell or solicitation of any offer to buy any of the currencies referred to in this report