DAILY REVIEW 14 Oct 2013
EU: Weekly: The candle is a small spread (121pips) bear small-body spinning top closing on low vol <1week. The candle close and volume suggests no selling interest. The Daily candle is a below-average spread (63 pips) bull closing about slightly more than ½ off the high on below-average vol<2days in which volume suggests that there is no buying interest and candle close suggests no selling interest. Price opened with a +20pips gap up and the Asian range is 1.3545 – 1.3568 The H4 TR is unchanged 1.3461 – 1.3645 with Lower (TRL): 1.3461 – 1.3520 Upper (TRU): 1.3521 – 1.3645 Friday’s price action and today’s open suggests that nothing has really changed with Friday’s price action appearing to be continued accumulation from Thursday with current prices well within range of the weekly supply levels: 1.3650 – 1.3710 SM is likely to create selling pressure either from Asia high or maybe 1.3575 - 1.3580 to around the 1.3530 – 1.3510 level and then reverse for the push back up. Price action would suggest this is a likely scenario as SM appear reluctant to re-visit the 1.3510 – 1.3500 levels. Again, trade setups at the TRL and TRU should provide good entries. A H1 close below 1.3461 will likely see more downside.  
EU long levels:  1.3529, 1.3507, 1.3485, 1.3462, 1.3355, 1.3270 EU short levels: 1.3575, 1.3600, 1.3631, 1.3655, 1.3670, 1.3700, 1.3715


GU: WEEKLY: The candle is a below-average spread (210pips) bear closing off the low on low vol <1day. The Daily candle is a below-average spread (78pips) bear spinning top on low vol<33days. The candle close and spread suggests no selling pressure. Price opened with a +22pips gap up and the Asian range is 1.5962 – 1.5988, almost identical to last Friday. Price is still within the TR of 1.5913 - 1.5985 From the price action and volume, it is likely that SM may want to collect more orders further north even if the intent is to drop further. The gap up and upward movement has already taken out some weak short traders. SM is likely to create selling pressure from Asia high to fade weak longs and close the gap and collect gap traders’ stops before reversing upwards to test and close above 1.6000. A H1 close above 1.6000 will likely see more upside  and a H1 close below 1.5850 will likely see more downside.
GU long levels: 1.5935, 1.5927, 1.5900, 1.5880, 1.5850 GU short levels: 1.6000, 1.6120, 1.6155, 1.6180, 1.6197, 1.6226, 1.6240, 1.6259, 1.6320, 1.6353, 1.6380