Cable accelerated sharply lower in early European trading on Tuesday as comments from President Trump soured the sentiment and neutralized expected positive impact from Brexit deal.
Fresh weakness dipped near 15 Nov low at 1.2722, signaling bearish continuation after Monday’s long-legged Doji.
Risk of retesting key supports at 1.2695 (30 Oct) and 1.2661 (15 Aug) rises as negative sentiment is supported by bearish daily techs.
Sustained break lower would accelerate on triggering stops below and could travel towards 1.2588 (21 June 2017 trough) and 1.2508 (Fibo 76.4% of 1.1930/1.4373).
Falling 10SMA (1.2828) which tracks bears in past two weeks, marks solid barrier which is expected to keep the upside protected.
Res: 1.2808, 1.2828, 1.2882, 1.2906
Sup: 1.2722, 1.2695, 1.2661, 1.2582
