Broad dollar demand pressured GBPUSD..........>

CABLE: Broad dollar demand pressured GBPUSD through the US afternoon yesterday,

the rate extended its corrective pullback to $1.3018 before forming a base ahead

of the 21-dma ($1.3013).

- Light volumes continued through Asia with the pair held to a very narrow 16

pip range, last $1.3037.

- Further downside support is located at $1.3012/11 from the 38.2% retracement

of $1.2866-1.3102 & 100-hma, a break opens a run at the $1.30 level & 100-dma at

$1.2986. Bulls need to recover yesterday's high at $1.3080, before challenging a

break back above the $1.31 level.

- Despite losses for both the Conservatives and Labour Party in the local

elections, GBPUSD has so far witnessed limited react.

- UK Services PMI is due up at 0830GMT. The services PMI in the UK is expected

to rise to 50.3 in April (Bbg Cons) after a reading of 48.9 in March. In March

the services PMI fell below the 50 neutral threshold for first time since July

2016.