Richard Perry
Independent Analyst
The lack of decisive trading continues on Cable (something that I believe will be a feature of trading in the next few months). The technicals are still buzzing around neutral and there is a lack of direction on the price. There is still a legacy from the bearish engulfing candle from last Thursday, but its importance is waning. The resistance of the pattern comes in at $1.5670. The Fibonacci retracements of $1.5188/$1.5928 continue to act as key near term levels as the 61.8% Fib level at $1.5470 came in as support on Friday, with the resistance still based around the 38.2% level at $1.5645. The pair is very much searching for direction now and this is clear from the hourly RSI which is consistently using the limits of 30/70 which suggests a rangebound play. The FOMC is likely to give us that direction.
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