Midday Report

Cable declined sharply, breaching the ascending channel's supportagain, but this time the decline was harmonized with the bearish technical pattern's formation,with theneckline at 1.6515. The pressure are constantuponthis level to be breached, thus chances of reversing to the downside for today remain strong, which will be confirmed with four-hour closingbelow level 1.6500 – the pivot point fortoday'sintraday direction– and then head towards 1.6375 – 1.6300. We advise monitoring the pair's movement for today dueto the high fluctuations, while observing the upcoming four-hour closing to determinethe coming intraday move.

The trading range for today is among the key support at 1.6350 and the key resistance at 1.7045.

The general trend is to the upside as far as 1.4840 remains intact with targets at 1.7100.

RecommendationBased on the charts and explanations above our opinion we advise avoiding trading the pair for the rest of trading today, until the direction is explicitly clear.