The pair closed in NY Friday at $1.6295, the rate recovered off pullback lows of $1.6262 after earlier printing an Asian session high of $1.6360. Euro-sterling closed at stg0.8430, towards the upper-end of a narrow stg0.8408-40 trading range. A very quiet Asian session saw cable contained to a narrow $1.6288-1.6309 overnight range. Broad based dollar weakness in early trade lifted the rate through $1.6300 to intraday highs, but with lack of follow through stalled to settle around $1.6295-1.6305 for the remainder of the session. Offers are seen capping the topside through $1.6320-40, more into$1.6355/60 ($1.6354/60 (5 dma, 13 Dec high). Euro-sterling tracked euro-dollar moves throughout the session and lifted to fresh 5 week highs of stg0.8442, before running into strong offers ahead of stg0.8445/50. Profit take sales added weight and the cross settled around stg0.8435/40 ahead of the European open. A busy schedule is expected to provide direction this week in thinned out Christmas markets as dealers look ahead to data releases from UK CPI on Tuesday, FOMC rate decision/minutes on Wednesday, UK Retail Sales on Thursday, followed by UK GDP on Friday.
