Cable consolidated post UK GDP gains to close in NY around $1.6120, the rate recovered from a pullback low of $1.6111 after slipping on denied talk of a US downgrade. Euro-sterling remained on the defensive and ground lower throughout the session to close at stg0.8019. After a quiet start to Asian trade cable picked up momentum and lifted in tandem with euro-dollar to highs of $1.6133. Market sentiment turned and as equities headed lower and cross sales weighed on markets, the pair eased to $1.6120, extending to $1.6106. Support ahead of $1.6100 helped recovery attempts and cable settled in a tight range ahead of Europe. A break on the downside opens bids at $1.6080, ahead of $1.6077/64 (21 dma, Former 23.6% of $1.5269-1.6309). Early demand in Asia lifted euro-sterling off NY lows, where the pair consolidated in a tight stg0.8024-8032 range. Strong support seen at stg0.8000 with stops set on a break.
EasyForexNews Research Team