Cable accelerated higher on Monday and eventually broke above top of thickening daily cloud, to hit new high at 1.3156 on Monday (the highest since 31 July). Weaker dollar and reports on progress in discussion over Irish border, one of key Brexit obstacles, inflated pound to resume its broader uptrend. Fresh advance pressure next pivotal barriers at 1.3162/72 (Fibo 61.8% of 1.3472/1.2661 descend / falling 100SMA), close above which would generate next strong bullish signal, in addition to initial signal on close above daily cloud. Renewed strong bullish sentiment after Friday’s pause and strengthening bullish momentum, support scenario for extension towards 1.3213 (26 July high). Broken daily cloud top marks solid support (1.3097) which should keep the downside protected and maintain bullish stance.
Res: 1.3162; 1.3172; 1.3213; 1.3280
Sup: 1.3097; 1.3066; 1.3026; 1.3010
