DAILY REVIEW 29 May 2014
EU: The Daily candle is a small spread (49pips) bear closing at the low on low vol<1day. The candle close and volume suggests more downside. Levels of interest: Demand: 1.3650 – 1.3642 (Fib61.8% confluence) 1.3576 – 1.3561 (Fib78.6% confluence) 1.3551 (H4 pivot) 1.3525 – 1.3512 (Fib88.6% confluence) Supply: short-term: 1.3642, 1.3667, 1.3687, 1.3730 Weekly/Daily: 1.4184, 1.4246 pivot. SM is likely to fade weak shorts to the 1.3630 or perhaps even to the 1.3642 breakout level before reversing to continue the downward move.

EU long levels: 1.3587, 1.3561, 1.3572 - 1.3561 (Fib 61.8% confluence), 1.3476, 1.3399, 1.3294  EU short levels: 1.3630, 1.3642, 1.3667, 1.3687, 1.3730, 1.3750

GU: The Daily candle is a normal spread (118pips) bear closing on high vol>4days. The candle close and volume suggests more downside. Levels of interest: Supply:  short-term 1.6918, 1.6995 Weekly/Daily supply level: 1.6991 – 1.7015, 1.7025 – 1.7045 Demand:  short-term- 1.6760, 1.6720 (confluence Fib78.6%), 1.6690 (confluence Fib88.6%), 1.6670, 1.6654 SM is likely to fade weak shorts to 1.6730 or even higher to the 1.6781 level before reversing back to test the 1.6696 level or lower. A close below the 1.6655 will likely mean more downside. 
GU long levels:  1.6696, 1.6670, 1.6654 GU short levels: 1.6730, 1.678, 1.6833, 1.6857, 1.6875, 1.6905, 1.6918, 1.6995, 1.7030, 1.7042

Posted at 03.00 am EST