Weekly Technical Levels:

Tip (s):

R3 and S3 are considered as clear indicators of the maximum range of extreme volatility though it is possible to pass them through. 

Pivot lines work well on the sideways markets, as the prices are most likely to be located between the R1 and S1 line.

Within a strong trend the price is expected to be lower than the pivot point line and continue the movement.

In case of the breaking news release that may affect the market, the price is likely to go straight through R1 or S1 and even reach  R2 & R3 or S2 & S3.

Time Frame: H1 // H4.

Fibonacci retracement levels are to be replaced from the last week's lower levels (those of the 19^th of February) to the higher levels (those of the 23^rd of February, 2012) in order to determine the price's low and high.

Average = (Higher - Lower) / 2
Average = 1.3213

• Range: 160 pips.
• The value of 50% Fibonacci retracement levels: 1.3213.
• At 1.35 a strong resistance is expected to be formed.
• At 1.30 a strong support is expected to be formed.
• Volatility: 211.40. Thus, the market indicates the higher volatility level.
• It should be noted that the price remains between 1.313 and 1.330 levels.

Observation (s):

• If the trend is of upside character, then the strength of the currency will be defined as following: EUR is an uptrend and USD is a downtrend.
• Most of the traders use the Fibonacci retracement to determine accurately psychological support and resistance levels.
  
• Volatility Formulas: Variation = Average * (Higher - Lower).