The pair closed in NY Thursday at $1.5179 at the end of a very volatile day, caused by the SNB pulling the Chf1.20 floor, which had seen rate drop from above $1.52000 to $1.5161 only to bounce back as euro-sterling was forced lower on general euro sales to extended lows of stg0.7631. Cable’s recovery extended to $1.5267 into early NY before rate drifted off to a post London fix low of $1.5151. Rate recovered to settle between $1.5165/95 into the close as euro-sterling extended its lows to stg0.7628, closing the day around stg0.7656. Cable touched $1.5194 in early Asia before marking session lows at $1.5161 as that basic $1.5165/95 end NY range held through Asia. Rate was trading around $1.5170 ahead into Europe. Asian session overall was seen subdued, suffering the shellshock of the SNB move and awaits Europe’s fresh take on the situation. Cable support remains at $1.5150/40 ahead of $1.5125/20. Resistance into $1.5195/1.5200 ($1.5195 38.2% $1.5267-1.5151) ahead of $1.5209 and $1.5223 (50%-61.8%). Euro-sterling support stg0.7640, stg0.7628. Resistance stg0.7670, stg0.7690-0.7705. A light data calendar for UK, attention on US CPI, IP/Cap.UT. and UofM, but fall out from SNB will continue to dictate moves.
