Cable closed in NY at $1.5740, having trailed EUR/USD stronger recovery extension to a session high of $1.5748, which in turn allowed the cross to extend its recent rise to stg0.8500. Cable managed to step its way to an extended high of $1.5753 in early Asian dealing, again tracking EUR/USD, while the cross was held below stg0.8500 (high stg0.84985), with resistance around the 61.8% retrace of Wednesday’s fall from $1.5816 to $1.5648 at $1.5752 helping to cap. Rate drifted lower through the balance of the overnight session, touching a low of $1.5726 ahead of the European open. Rate picked up demand in early Europe but resistance at $1.5753 capped, which saw EUR/GBP move above stg0.850 as EUR/USD extended its recovery, with cable dropping back to $1.5721 as the cross edged on to stg0.8506. Strong cable demand emerged into the dip, recovery taking rate to $1.5799 ahead of UK GDP. Rate dipped to $1.5780 on slight revision to y/y component, before fresh demand extend recovery to $1.5819, taking the cross back to stg0.84695.
EasyForexNews Research Team