Free Trial

### - POV - Sterling continues to enjoy an....>

CABLE
MNI (London)
CABLE: ### - POV - Sterling continues to enjoy an underlying buoyant tone,
mainly with the help of current euro weakness, but partly offset by Usd
strength. Euro lost ground post the German election with Merkel again leading
the largest party, though with a reduced vote share, with coalition talks
expected to take a few weeks before she can form a functioning government. The
softening in the single currency  allowed Eur/Gbp to extend recent losses,
today's release of strong CBI Distributive Trades provided added impetus that
saw rate trade to Gbp0.8747. Cable, which had been drawn back to $1.3365 in
early European trade was able to extend its recovery to $1.3428, though met
resistance between $1.3425/35, as well as failing to break back outside of its
weekly cloud top at $1.3429. Technical traders would like to see a challenge on
the Gbp0.8745/44 area(Jul17-Jul14 lows), a break opening potential for a deeper
move toward Gbp0.8693(61.8% stg0.8314-0.9307) before we could see a stronger
recovery effort. For cable, a break of $1.3464 now seen needed to boost recovery
potential. 
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com
MNI London Bureau | +44 203-586-2231 | john.webb@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.