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Cleaner positioning (net GBP shorts reduced...>

CABLE
CABLE: Cleaner positioning (net GBP shorts reduced to the lowest level seen
since May of this year in the latest CFTC CoT report), coupled with Barnier's
weekend warning shot re: Brexit negotiations combined to force a fresh
post-general election low in cable on Monday.
- Rate last dealing 10 or so pips higher on the day at $1.2945. Yesterday's low
of $1.2905 now provides initial support, while a break back above $1.3000 would
have bulls looking to $1.3134, the Dec 18 high.
- Focus over the Christmas period will likely fall on any whisperings/source
reports re: Brexit negotiations, with the uncertainty surrounding the short
timeline for the negotiations resulting in a decent sell off after the GBP's
initial bout of "election euphoria."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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