Closed in NY at $1.5515 after rate had seen a spike high of $1.5680 into ECB Draghi’s press conference, only to drop back to $1.5490 as comments failed to live up to market expectations. Trade through Asia was confined to a tight $1.5505/24 range, following Thursday’s whippy price action and trade settles into a typical tight pre-NFP market. GBP corrective pullback was cushioned by EUR/GBP drop back to stg0.7824, from earlier highs of stg0.79125, trade in Asia contained within stg0.7844/52. The recent release of weak GDP data in the UK continues to put a dampener on the pound, though it could still make back ground against the euro it will prove tougher versus the dollar. UK services data due for release at 0828GMT and will provide the main domestic focus on the day, though US Employment Report at 1230GMT will overshadow. Cable demand seen at $1.5490/80, stronger interest noted at $1.5460/50 with stops placed on a break of $1.5440. Resistance $1.5525/35, a break here to open a move on toward $1.5560/65 and $1.5580/85.
EasyForexNews Research Team