Cable came under pressure in early hours of European session and broke below pivotal supports at 1.3401 (10 SMA) and 1.3374 (20SMA), weakening near-term structure.
Fresh bearish acceleration at the beginning of American session approached key support at 1.3303 (12 Dec low/30SMA/daily Kijun-sen) and shifted near-term bias lower.
Fresh bears are on track to fully retrace 1.3302/1.3464 recovery phase and signal continuation of bear-leg from 1.3549 (01 Dec high).
Firm break below 1.3302 handle is expected to undermine larger bulls from 1.3038 and generate stronger bearish signal for extension towards 1.3253 (55SMA/daily cloud top) and 1.3233 (Fibo 61.8% of 1.3038/1.3549 ascend). Broken 20/10 SMA’s now act as resistances and should keep the upside protected.
The pair is also on track for the second straight bearish weekly close which supports negative scenario.
Res: 1.3374; 1.3415; 1.3447; 1.3464
Sup: 1.3303; 1.3253; 1.3233; 1.3196
