Closed in NY Monday at $1.6070, the rate having recovered off early European lows of $1.6021 and consolidated gains amid light flow. Early demand in Asia lifted cable to $1.6083, before a bout of profit take sales and aided by broad dollar strength pressed to $1.6060. The rate later bounced to $1.6070 and settled in a tight range ahead of Europe. Offers reported at $1.6090, stronger behind at $1.6095/00 ($1.6097 – 12 Oct high), through here opens tech resistance at $1.6104 (38.2% of $1.6309-1.5977). Support seen into $1.6050, ahead of $1.6020. Euro-sterling closed at stg0.8060, off earlier highs of stg0.8078. The cross had a slow grind throughout Asia to print highs of stg0.8070 with resistance seen at stg0.8080, ahead of stg0.8090. Traders focus on the UK calendar today with data releases at 0830GMT from CPI, Retail Price Index and PPI.
EasyForexNews Research Team