Decent bounce off extended low of $1.3895.....>

CABLE: Decent bounce off extended low of $1.3895 saw rate push up to $1.3998 but

rally again failed to make the break back above $1.4000. Move seen as EUR/USD

came under strong sell pressure, which dropped EUR/GBP to an extended low of

Gbp0.8681. However, cable struggled to hold gains and drifted back off to

$1.3906 before it edged back to $1.3940 ahead of the close. Cable consolidated

within a tight $1.3912/19 range in early Asia, edged on to $1.3935 then settled

above $1.3920. Resistance seen into $1.3940, a break to expose hourly resistance

between $1.3955/65 ahead of stronger resistance toward $1.4000. Support

$1.3910/1.3895 ahead of $1.3875/70. EUR/GBP held below Gbp0.8700 through Asian

trade and was seen adding some buoyancy. Focus this morning on UK Q1 GDP, market

median 0.3%QQ. Poor weather conditions in this quarter could dampen

expectations. If release comes in at or above the expected level it could

provide a boost for sterling. Sterling still has some decent sized sterling

positive M&A deals in the works. BOE Carney and Chief Economist Haldane due to

speak this afternoon (introduction of the BOE's EconoME teaching programme).

With this title some analysts not expecting any comment on monetary policy.