Saw an extended recovery high Thursday to.....>

CABLE: Saw an extended recovery high Thursday to $1.2571 where it met

resistance, from its 38.2% retracement of the recent pullback from $1.2784 to

$1.2440, before it eased off to $1.2509, settling back above $1.2520 into the

close. Further dovish Fedspeak overnight kept the recovery tone in place and

allowed cable to nudge back up to $1.2549 but momentum faded in early Europe.

Minor resistance seen at the hourly high of $1.2558, stronger at $1.2566/71

ahead of $1.2588. Support remains at $1.2520 ahead of $1.2500. 

- Brexit continues to bubble away below the surface with Johnson still seen as

the front runner in the Conservative/PM race.

- Failure to move above the Jun25 downtrend line (Thursday at $1.2583, today at

$1.2566) suggests current recovery is flow driven and not a change in the

underlying bearish tone. 

- BOE MPC Vlieghe speaks at 0830GMT, a known dove.