Cable trades a touch softer at ~$1.3055 in....>

CABLE: Cable trades a touch softer at ~$1.3055 in early Asia-Pac trading, with

risk sentiment weighing, after the rate edged higher on Friday as Bloomberg

reported that the UK is ready to drop Brexit demands on the Irish border in

order to ease through a deal (the spike higher on the headlines was mostly

reversed in quick order).

- Brexit continues to be the factor driving sterling. Weekend news flow was a

little more -ve for PM May with a pro-EU march in London drawing 100s of

thousands & more talk of contempt from within her own party/cabinet. That being

said reports suggest that May is to tell parliament that ~95% of the Brexit

negotiations are now complete.

- Cable bears seek a break below the 50-DMA at $1.3011 to target the Oct 4 lows

at $1.2922. Bulls need a close above the key $1.3200 level, which would give the

green light to challenging the Sep 20 high at $1.3298.

- Focus tomorrow falls on BoE Chief Economist Haldane's appearance in Paris &

BoE Gov. Carney's address in Toronto. Points of note this week also include any

Brexit fallout and UK sov. debt ratings by Fitch and S&P (Friday).