The pair closed in NY Monday at $1.5540 after recovering off a session low of $1.5521. The rate had seen highs earlier in the day at $1.5599 before reversing, with the move to the lows seen as rate tracked euro-dollar’s reaction to ECB Draghi’s dovish comments. Rate continued its recovery to $1.5553 in early Asian trade before rate settled between $1.5540/50 through the balance of the session. This tight trading in cable left euro-sterling to track euro-dollar, the rate having closed in NY at stg0.8414, off a pullback low of stg0.8400, touching a low in Asia at stg0.8409 before edging up to stg0.8420 into Europe. The London market returns Tuesday after a long Spring bank holiday weekend. A very light domestic calendar will have market looking for outside events to determine direction. Cable support seen at $1.5535 ahead of stronger interest into $1.5520. Resistance seen into $1.5560 ahead of $1.5580. A break here to expose the stronger resistance area between $1.5595/1.5610.
