Sterling retains a firm underlying buoyancy...>

CABLE: Sterling retains a firm underlying buoyancy but noticeable that cable

cannot advance above its recent high of $1.2385(Monday Sep09). Rate touched

$1.2379 Tuesday, fell back to $1.2307 on reported positioning ahead of UK Jobs

data but bounced back to $1.2375 as employment remained firm, with wages coming

above forecast. Rate met support at $1.2340 on initial drift lower, settled

around $1.2355 into the close. Consolidation continued in early Asia as rate was

confined to a $1.2341-61 range but was able to nudge to $1.2368 into Europe on

improved general risk outlook. Positive noises heard that PM Johnson is striving

for a Brexit deal, however, suggestions of a Northern Ireland backstop may upset

those in the ERG group. Other reports suggest some MP's looking to revamp ex PM

May's deal. Reports continue that sterling liquidity remains a concern. 

- Cable support $1.2310/00. Resistance $1.2375/85 ahead of $1.2400. 

- Rate currently seen slowly tracking its rising 1.0% 10-dma envelope, the

topside of which currently comes through at $1.2365.