Cable is trading within narrow range on low volumes in early Monday, as Europe is closed for holiday, but remains positive above 1.2500 handle, where the pair is attempting to form a higher base.
Last week’s strong recovery rally from 1.2364 that peaked at 1.2572, looks for final push towards targets at 1.2613 (27 Mar high) and 1.2623 (200SMA), supported by bullish daily studies which are gaining fresh momentum.
Bullishly aligned near-term technicals also support scenario, with 1.2500 support zone (also Fibo 38.2% of 1.2363/1.2572 rally) required to hold.
Otherwise, risk of deeper correction could be expected on loss 1.2500 handle that would open next pivotal support at 1.2468 (daily Tenkan-sen) and trigger further easing on break.
Res: 1.2547; 1.2572; 1.2594; 1.2613
Sup: 1.2521; 1.2500; 1.2468; 1.2443
