Closed in NY at $1.5869, after being rejected from $1.5888 (76.4% of the earlier pullback from intraday highs of $1.5909 to $1.5820) to $1.5857 before recovering into the close. This recovery extended in early Asia, the rate edging up from its opening level of $1.5871 to $1.5885 before faltering ahead of the NY recovery high. Japanese exporter sales of yen crosses post Tokyo fix saw rate reverse lower, in tandem with EUR/USD, the rate pressed back to $1.5852 and holding heavy into early European dealing. Rate currently trades around $1.5855. Bids seen placed into $1.5850, a break to open a deeper move toward $1.5835 with stronger interest noted between $1.5825/20. Offers remain between $1.5885/90, a break to open a retest of $1.5909 ahead of $1.5924/29 area of recent highs. Stops were noted above $1.5920 on Friday, more noted above $1.5935. EUR/GBP was contained in Asia between stg0.8357/65. Underlying tone in cable remains bullish, though seen needing a break of the $1.5900/20 area to further convince, one trader suggests.
EasyForexNews Research Team