Cable closed in NY Thursday at $1.5384 after rate had pulled away from extended recovery highs of $1.5412. Rate touched an overnight low at $1.5383 in opening Asian business before rate began again to edge higher, the move to $1.5410 driven by general pressure on the dollar, prompted by dollar-yen’s break back below Y99.50, after most had expected a challenge on the Y100.00 level. A bounce in dollar-yen dropped cable back to $1.5390 but buyers were quick to emerge and take advantage of the dip, the rate recovering toward $1.5400 ahead of the European open. Euro-sterling was contained within a range of stg0.8512/20 leaving cable to take direction from euro-dollar plays. UK construction output at 0830GMT provides the domestic data highlight for the day, with focus set on US retail sales and UofM sentiment as well as the first bank earnings data, JPM and Wells Fargo. Cable offers now seen between $1.5415/25, the area covering $1.5414 Feb19 low and $1.5424 38.2% retrace of the year’s $1.6381-1.4832 range. Stops noted on a break of $1.5430. Support $1.5385/80.
EasyForexNews Research Team