Wednesday's Dec 5th midday analysis -13.00 GMT

EurUsd retraced to the 38.2 Fibonacci Line yesterday afternoon, close to the 1.4775 level; after that the pair moved towards the 1.4700 support but so far it has failed to break it. The pair needs to break above today’s high in order for us to change our bearish view.

Cable made lower highs yesterday and early in Today’s European session it sharply fell breaking every intermediary support level and only stopped at the 2.0365 area, which is the main support we see on the charts. A continuation lower is to be expected in the following days, but as today’s range is well above 200 points the US session could bring a consolidation.