Closed in NY at $1.6022 after recovering off session lows of $1.5992 to $1.6044. Rate marked overnight lows in Asia of $1.6021 in opening trade before rate gets pressured higher on general dollar weakness, led by a strong sell off in USD/JPY. Rate pushed to a high of $1.6048 ($1.6046 76.4% $1.6063/1.5992) before losing momentum, with rate drifting off to $1.6027 before settling around $1.6030 ahead of the European open. EUR/GBP trade was restricted to stg0.8311/0.83225, the rate consolidating after recovering from an extended low of stg0.8295 seen in NY trade Monday. UK construction PMI data due for release at 0830GMT. Cable resistance seen into $1.6050 ahead of Monday’s high at $1.6063, with offers noted to $1.6065. Further offers reported on approach to $1.6080 ahead of stronger interest between $1.6095/1.6100, the figure holding decent sized barrier interest. Support remains into $1.6020, a break to open a deeper move toward $1.6005/00 ahead of $1.5995/90. Stronger demand noted into $1.5980 ahead of $1.5965/50.
EasyForexNews Research Team