DAILY REVIEW 23 March 2015

EU Analysis:

EU: Perspective: Price has tested and broken through the 1.0500 which is simply a monthly low and psychological level with the next pyschological level at 1.0000 and the 0.9900 level being the breakout retest of a reaccumulation structure. Bias is still strongly down. Possible retracement short levels will be around the new breakout levels. 
Monthly- The candle is a below average spread (351pips) bear closing at the low on very high vol<2months. The candle close and volume suggests more downside.

Week- The candle is a large spread (571pips) bull closing 1/3 off the high on high vol>5days. The candle close and volume suggests more upside.

Daily- The candle is a ultralarge spread (234pips) bull closing about 1/4 off the high on hig vol<2days. The candle close and volume suggests more upside.  
Levels of interest: Demand: Daily/Weekly:  1.0000  

Background: Fundamentals for the Euro remain weak with the Greece issue remaining unresolved. Post FOMC has seen SM wipe upward and downward.

The Oanda order book shows significantly more trapped short volumes. 
Potential Fresh demand: 1.0750-1.0730, 1.0700-1.0690, 1.0610-1.0590, 1.0500-1.0490, 1.0465-1.0430, 1.0400, 1.0000
Potential fresh supply: 1.0770-1.0800,1.0885-1.0905, 1.0995-1.1005
Trapped long (stop) orders: 1.0455-1.0430, 1.0400-1.0390
Trapped short (stop) orders: 1.0877-1.0905, 1.1100

Prices are still in an inside day of last Friday. Prices opened gapped up and quickly tested Friday's high 1.0881 before falling back to close the gap. SM is likely to fade weak longs to around 1.0750 or lower before reversing to resume the corrective move long. 

EU long levels:1.0550-1.0530, 1.0500-1.0496, 1.0490-1.0480, 1.0000

EU short levels: 1.0618, 1.0645,  1.0683, 1.0695-1.0705, 1.0740-1.0760, 1.0800, 1.0900, 1.0975, 1.1100, 1.1020, 1.1155, 1.1250, 1.1300, 1.1450, 1.1500, 1.1533, 1.1560, 1.1600, 1.1630, 1.1678


GU Analysis:

GU: Perspective: GU has closed strongly past the monthly 1.4812 pivot and broken the 1.4700 key level, headed toward  the next monthly pivot 1.4225 monthly pivot which is the next possible level of support/demand.
Month- The candle is an above average spread (564pips) bull closing off the high on low vol<5weeks. The candle close and volume suggests more upside. 
Week- The candle is a large spread (530pips) bull closing nearly 1/2 off the high on low vol>6days. The candle close and volume suggests more upside. 

Day- The candle is an ultralarge spread bull closing near the high on very high vol<2days. The candle close and volume suggests more upside.

Demand: Weekly/Daily:  1.4870 - 1.4812, 1.4229 Supply: Short term: 1.5574, 1.5600, 1.5619 

The British pound remains under pressure from US Dollar strength and overall risk aversion in the Eurozone.  The Oanda order book reveals overall more trapped short volume. 

Potential demand stacks: 1.4700-1.4693 (not really significant volume)
Potential supply stacks: 1.4990-1.5000, 1.5042-1.5083, 1.5092-1.5115, 1.5192-1.5220
Potential short (trapped) stops: 1.4980-1.5030, 1.5044-1.5075
Potential long stops: 1.4628-1.4520
Friday's candle is an inside-day of Thursday. Prices opened gapped up about 20pips and pushed to test Friday's high marginally making a new high before reversing and closing the gap. Prices have pushed lower, SM is likely to maintain selling pressure to fade weak longs to around 1.4865 or lower before reversing to resume the upward corrective move.  

GU long levels: 1.4865-1.4850, 1.4807-1.4790, 1.4760, 1.4700

GU short levels:  1.4990, 1.5026, 1.5100, 1.5136, 1.5150, 1.5200, 1.5225, 1.5280, 1.5305, 1.5320, 1.5400, 1.5420, 1.5457, 1.5500

Posted at 04.06 am EST