The pair closed in NY Friday at $1.6424 after sterling had been a general boost earlier in the day on the release of stronger than forecast UK retail sales data. Cable had posted lows earlier in the day of $1.6309, rose to $1.6350 into data release before spiking up to $1.6459 before momentum faded. Rate eased to $1.6403 as dollar demand emerged into the European close, with position adjustments also seen ahead of the long US weekend (Martin Luther King Day today), with rate then edging higher into the close. Early trade in Asia saw cable consolidate around $1.6420 before sterling-yen sales pressed rate to extended pullback lows of $1.6396. However, buyers were quick to take advantage of the pullback and pushed rate back toward $1.6420 during the Asian afternoon, with early Europe adding to the demand as rate as it moves through its late posted Asian high of $1.6423 and on to $1.6430. Resistance seen at $1.6430/35ahead of $1.6444 and $1.6460/70 ($1.6459 Jan17 high; $1.6465 Jan14 high/$1.6468 76.4% $1.6518-1.6309). Support $1.6400/395 ahead of $1.6385/80 and stronger interest into $1.6370/60. Euro-sterling retains a heavy feel into Monday, holding just off key support at stg0.8230.
