As expected, we did see the Cable resuming its uptrend after a 38% retracement of the previous rally started in July 12.
The pair went through the 1,64 level before rolling-over during the asian session. From this point, we might see either a continuation towards the top of the long term range at 1,66 or a consolidation between 1,64 and 1,62.
We don’t actually encourage a bearish prospect on the Cable considering the weekly technical setup. Indeed, the momentum is still bullish and we have no indication of immediate weakness on the pair.
Today’s price action will be influenced by the BoE rate decision coming at 11:00 GMT.
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