Cable is consolidating on Monday after strong rally last week which was capped by descending 20SMA at 1.3337. Consolidation is so far holding within narrow range, but overbought slow stochastic warns of deeper pullback. Limited downside action could be expected while thickening hourly cloud (spanned between 1.3256 and 1.3222) holds dips. Extension below hourly cloud would risk further easing and test of 10SMA (1.3208) violation of which would generate stronger bearish signal. Conversely, sustained break above 20SMA (currently at 1.3326) and daily Kijun-sen (1.3341) will be bullish signal for fresh upside action towards pivotal barrier at 1.3415 (Fibo 61.8% of 1.3655/1.3026 descend).
Res: 1.3311, 1.3326, 1.3341, 1.3415
Sup: 1.3256, 1.3222, 1.3208, 1.3182
