Closed in NY at $1.5597, off traded lows at $1.5578 as rate was pulled lower by deeper EUR/USD slippage, with a paring back in risk seen as the main driver. Cable posted an early session low at $1.5594 into Asian dealing before edging back above $1.5600, the recovery continuing through the overnight session to $1.5617, with early Europe extending this move to $1.5621. Resistance seen at $1.5720/25, a break to open a move toward $1.5638 (38.2% $1.5734-1.5578) ahead of $1.5645/55 ($1.5656 50%). Stronger offers then seen into $1.5680 ahead of stronger interest placed toward $1.5700. Support around $1.5580, more between $1.5560/50 ($1.5556 76.4% $1.5480-1.5802), with stops below. Very light UK calendar with moves to come from market perception of risk, with Ecofin and a heads of state meeting in Europe watched for any resulting comment. EUR/GBP traded Asia between stg0.80395-0.80475 with rate holding heavy into early Europe. Support seen between stg0.8032/22 ahead of stg0.8012. Resistance stg0.8050 ahead of stg0.8070 and stg0.8090/0.8100.
EasyForexNews Research Team