DAILY REVIEW 8 Apr 2014
EU: The Daily candle is a small spread (52pips) bull closing near the high on low vol<34days. The candle close suggests more upside and volume suggests markup by SM. Levels of interest: Demand: short term: 1.3672 (Friday’s low), 1.3654 - 1.3642 (confluence Fib 61.8%), 1.3600 – 1.3590 (key level),  1.3573 – 1.3561  Supply:  short-term: 1.3720 – 1.3730, 1.3756 – 1.3770, 1.3966 The Asian range is 1.3738 – 1.3747 currently. As expected SM tested Friday’s high (1.3730) to induce breakout traders long. However, with Monday having limited orders, the orders are insufficient at this point and therefore prices are holding and pushing higher. SM is likely to test Thursday’ Asia low (1.3756) or higher then reverse to fade weak longs back down to the Friday’s Asia low (1.3695) level or Friday’s low or lower to around the 1.3650 level before resuming back northward.  
EU long levels:  1.3692, 1.3672, 1.3650 EU short levels: 1.3765, 1.3794, 1.3812, 1.3825, 1.3850, 1.400, 1.4050

GU: The Daily candle is a small spread (58pips) bull closing off the high on low vol<54days. The candle close suggests selling commencement and the volume suggests a SM markup prior to distribution. Levels of interest: Short-term supply- 1.6622 -1 .16640, 1.6660, 1.6680, 1.6700 Weekly/Daily supply level 1.6835 – 1.6845, 1.6860 – 1.6875, 1.6991 – 1.7015, 1.7025 – 1.7045 Demand:  short-term- 1.6548 (Friday low), 1.6533 (confluence Daily Fib50%), 1.6525 – 1.6515, 1.6500 – 1.6490 The Asian range is 1.6602 – 1.6625 currently. SM is likely to test the 1.6660 before fading the weak longs to reload long orders inventory at a retest of 1.6587 below yesterday’s Asia low or Friday’s low (1.6548) before reversing to continue the northbound move.  
GU long levels:  1.6587, 1.6548, 1.6534, 1.6525, 1.6495 GU short levels:  1.6660, 1.6680, 1.6700, 1.6823, 1.6835, 1.6860, 1.7000, 1.7030

Posted at 2.59 am EST