Reported support in the $1.2440/39 area.......>

CABLE: Reported support in the $1.2440/39 area provided a base Tuesday for a

recovery, the move up though faltering in early Wednesday trade before Fed

Powell's dovish testimony was seen preparing the market for a 25bp cut at this

month's FOMC meeting. Cable recovery extended to $1.2521, initial pullback found

support at $1.2490 before it settled around $1.2505 into the close. Further USD

Powell react sales emerged in Asia, led by USDJPY, and acted to take cable to an

extended recovery high of $1.2538 before momentum faded. Early Europe has

pressed rate back to $1.2524 with minor demand expected into $1.2520. Break here

to open a deeper move toward $1.2495/90. MNI Techs says focus is on the

short-term trendline resistance, drawn off the high of Jun 25, that intersects

at 1.2583 today, adding that while current recovery holds below it is seen

keeping the bearish underlying bias in place. Interim resistance noted between

$1.2540/50. USD remains the key driver with attention on Fed Powell part 2 (in

front of Senate today and more Q&A) along with US CPI and Weekly Jobless Claims.