The pair closed in NY Friday at $1.6093 as rate continued its recovery off Wednesday Oct15 lows of $1.5875, though trade through the day was described as choppy as an early pullback to $1.6030 was followed by a strong recovery to $1.6126. Rate then eased off to $1.6060 before it edged higher into the close. This move up in cable was driven in part by euro-sterling’s corrective pullback from its Wednesday high of stg0.80465 to its close just off late session lows of stg0.79255. This easing in the cross extended to stg0.7912 in opening Asia trade Monday which in turn pushed cable on to an early high of $1.6137 but sterling gains proved short lived as cable eased off to $1.6083 while the cross nudged back up to stg0.7929. Cable then drifted higher through the balance of the session, settling back above $1.6100 into the European open. Euro-sterling drifted lower and settled around stg0.7920. A light domestic calendar for Monday with attention this week turning to public sector borrowing Tuesday, BOE Minutes Wednesday, UK retail sales Thursday and UK Q3 GDP Friday. Cable support remains at $1.6100 ahead of $1.6085/80. Resistance $1.6137 ahead of the 21-dma at $1.6155.
