DAILY REVIEW 4 November 2014

EU Analysis:

EU: Daily- The candle is a below average spread (75pips) bear pseudo reverse upthrust closing on low vol<5days. The candle close and volume suggests a lack of selling pressure. Levels of interest: Demand: Daily/Weekly: 1.2053, 1.2037 Supply: short-term: 1.2543, 1.2550, 1.2574, 1.2595, 1.2645 Background: We've seen the USD Index strengthen significantly after the FED's removal of QE. Prices oscillated after making an initial lower low yesterday but nothing has changed as prices closed Friday's gap and made a higher higher in Asia at 1.2530 SM awaits news to drive prices upward before resuming the downtrend. SM is likely to continue to fade weak shorts to around the 1.2543 or higher before reversing to resume the downtrend. Check yesterday's review for the levels.

EU long levels: 1.2240, 1.2182, 1.2053, 1.2037

EU short levels: 1.2543, 1.2550, 1.2574, 1.2595, 1.2645

GU Analysis:

GU: Day- The candle is a normal spread (96pips) bull small body spinning top closing on low vol<1day. The candle close and volume suggests more downside. Demand: Weekly/Daily:  1.5850 Supply: Short term: 1.6137, 1.6150, 1.6183, 1.6225, 1.6400, 1.6492, 1.6523 Technically price is still in an inside day. SM is likely to fade weak shorts to 1.6037 level or higher to 1.6100 before reversing to test the current low. Note that GU may find demand again back at the current swing low 1.5874 to the 1.5853 pivot.

GU long levels: 1.5853 
GU short levels: 1.6037, 1.6060, 1.6082, 1.6100, 1.6121, 1.6150, 1.6183, 1.6225, 1.6286

Posted at 4.42 am EST