Morning Report

The Cable continues to fluctuate near the previously breached support currently at 1.6395, where our bullish scenario remains after slightly correcting to the downside to build a solid base at 1.6180 and then rebound to the upside on the intraday basis, in an attempt to breach the 1.6330 resistance level to target 1.6560. This scenario remains as far as 1.6180 remains intact;whereas the stochastic indicator supports the slight downside correction.

The trading range for today is among the key support at 1.5870 and the key resistance at 1.6555

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 is buying the pair with the breach of 1.6330 to 1.6560 and stop loss below 1.6240 might be appropriate.