After having failed to clear the key short term resistance at 1.5423 recently, the Cable has consolidated and is approaching a key support zone around 1.5156/90 (short term retracement & bullish channel). A break below this support would probably signal the resumption of the downtrend toward 1.5054 in the short term then toward March low at 1.4832.The formation of a head & shoulder on intraday charts also strengthen this scenario. Short term resistance stand at 1.5370 & 1.5423. Short – stoploss @ 1,5371 – Target @ 1,4833.
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Natixis