The pair was pressured in tandem with euro-dollar to European session lows of $1.5626 on Friday after dovish comments from ECB Draghi that said the bank will seek to raise inflation as fast as possible. The dip attracted fresh demand interest with a move to $1.5692, before strong resistance ahead of $1.5700 countered to settle around $1.5660 into the NY close. Euro-sterling remained on the defensive and extended the corrective pullback to stg0.7906. Cable opened heavy in early Wellington trade and after euro-dollar slipped to re-test 2014 lows, the rate gapped to $1.5629 on the move. The dip attracted fresh demand interest with a recovery to $1.5640, which later extended throughout the afternoon session to $1.5665/70. On the downside strong demand is seen on approach to $1.5620/00, a break opens $1.5590 (Nov19 low, Market stops). Euro-sterling encountered strong demand ahead of stg0.7900 as the cross recovered off early session lows of stg0.7903 to stg0.7917. A break of stg0.7900 opens stg0.7895/93 (21 & 55dma’s), strong demand, behind at stg0.7885 with stops set
