DAILY REVIEW 12 Dec 2013
EU: The Daily candle is a below-average spread (71pips) bull spinning top closing 1/3 off the high on low vol>2days with continued daily bearish volume divergence. The candle close and volume suggests selling. Price has broken to the 1.3810 level and near the daily/weekly swing high level 1.3831 Levels of interest: Daily/Weekly swing high 1.3831 Test of Daily breakout level 1.3868 25Oct2013 The Asian range is 1.3772 – 1.3802. Nothing has changed and the fact remains that price is well within reach of the 1.3831 level and a H1/H4 close above will likely see a test of the 1.3870 level or higher. These two levels remain significant levels for reversal or retracement for profit taking. SM is likely to create buying pressure to test the 1.3800 key level again then reverse to fade the weak longs before reversing upwards to test the higher supply levels from which a mid-week reversal is possible.
 EU long levels: 1.3746, 1.3720, 1.3705, 1.3695, 1.3650, 1.3620, 1.3600 EU short levels:  1.3800, 1.3830, 1.3870, 1.3895

GU: The Daily candle is a large spread (118pips) bear closing about slightly more than 1/4 off the low on low vol>2days. The candle close suggests that there is some buying into the candle. The Asian range is 1.6351 – 1.6414. Levels of interest: H4/daily supply levels: 1.6524 – 1.6533, 1.6555 – 1.6571, 1.6600 – 1.6620, breakout level 1.6480 As seen in the H4 charts, SM is likely to have been accumulating for a push north from 1.6300 upwards. Shown is a H4 chart that was posted yesterday. SM is likely to maintain buying pressure to test the 1.6421 and maybe higher before reversing to fade weak longs and reversing again back to test 1.6480 and higher.
GU long levels:  1.6351, 1.6338, 1.6321, 1.6300 GU short levels: 1.6480, 1.6500, 1.6533, 1.6580, 1.6600, 1.6620, 1.6660, 1.6735, 1.6750