The pair closed in NY Tuesday at session lows of $1.5208, the rate having broken through its 50% retrace of the move up from 2013 lows of $1.4832 to $1.5607 at $1.5220. Rate recovered in early Asia, moving up in tandem with euro-dollar, to $1.5237 before momentum faded. The rate eased to $1.5218, Asian traders noting that a seller in the $1.5225 area was same name that was a noted seller Tuesday around $1.5325/30. Rate then settled between $1.5225/35 into Europe. Euro-sterling trade through Asia was contained within stg0.8490/98, after rate had seen extended highs in NY of stg0.8517. Resistance in the cross remains at stg0.8517/22. Early Europe release of slightly lower than forecast Q1 France GDP data sees rate pressing on the Asian base in Europe. Bids seen into stg0.8480. Cable demand seen from Tuesday’s low at $1.5208 through to recent lows at $1.5197 (Apr23), a break of $1.5190 to open a deeper move toward $1.5160/50. Resistance remains into $1.5240, with further resistance noted into $1.5250/55 ahead of $1.5270. UK employment data at 0830GMT, followed at 0930GMT by the BOE’s Quarterly Inflation Report.
