The pair closed in NY Thursday at $1.5601 after rate had extended its earlier gains through resistance between $1.5460/70, with triggered stops on the break of $1.5500. then $1.5610, providing the added momentum that saw rate hit $1.5684 highs. Rate extended its corrective pullback to $1.5588 in early Asia before system demand lifted rate back through $1.5600 and on to session highs of $1.5618, as sterling-yen stops through Y151.85/95 were targeted and triggered (this rate trading to Y152.05 before turning lower as it tracked another wave of yen demand). Cable basically settled between $1.5590/1.5620 through the Asian afternoon, trading around $1.5600 into Europe. Euro-sterling, which had seen extended lows of stg0.84765 Thursday, consolidated its lower levels between stg0.8483/0.85015 in Asia , opening Europe around stg0.8498. UK trade, BOE/GfK inflation forecast and new construction orders at 0830GMT provide the morning’s domestic interest. Cable resistance remains into $1.5620, a break here to open a move toward $1.5650 ahead of Thursday highs of $1.5684. Support $1.5590/80 ($1.5588 38.2% $1.5434-1.5684).
