Recovery from a pre NY low of $1.3106 saw.....>

CABLE: Recovery from a pre NY low of $1.3106 saw rate falter at $1.3173 before a

generally stronger USD added its weight and pressed cable to an extended low of

$1.3004 through the 1600GMT fix. Rate managed to recover to $1.3060 but

underlying tone remains bearish. PM May in Brussels has managed an extension in

Article50 to May22, but on condition that she can get her Withdrawl Bill passed

next week in Parliament. After the negative response May got from her overnight

'apology' to the electorate it is expected that she will have a far more

difficult job to convince party rebels to change tack which in turn has brought

No-deal back into the picture as UK heads towards next week's current legal

Mar29 Brexit deadline. BOE MPC left rates unchanged, as widely expected, with

outcome of Brexit remaining a determining factor in the near term UK rate path. 

- Support now seen into $1.3000, a break to expose the 200-dma at $1.2979.

Resistance $1.3050/60, $1.3100/10, $1.3150.

- Light UK calendar Friday with Brexit remaining the key driver. Expect position

adjustments ahead of the weekend.