LONDON, Oct. 15 (MNI) - Sterling traded with a firm tone
into late European morning trade Wednesday, the pound able to ignore
disappointing UK unemployment data as the market provided a buoyant tone
via corporate/M&A orders, with late demand interest from the Middle
East providing an added boost to take cable above $1.7500.
STERLING SUMMARY: Opened early Europe at $1.7480, stg0.7778
-- Cable opened Asia around $1.7410, off NY lows of $1.7391. Rate eased
to $1.7382, as sterling-yen came under pressure on risk aversion
trading (negative Wall Street close led to an early sell-off in
Asian equity markets). Rate was able to recover, the move up boosted
by a press report (The Times) suggesting UK housing slump may end
within the next year, as well as Asian equities paring losses. Cable
traded to a high of $1.7472 in Asia, extending to $1.7495 in early
Europe, as equity markets continued to perform well, but reversed
lower as stock gains eased. Cable dropped back to $1.7420, recovering
to $1.7480 before easing again to $1.7425. Poor UK unemployment data
had little effect. Sterling retained an underlying buoyant tone
through the morning, euro-sterling extending losses to stg0.7770,
while cable picked up decent demand interest through the 1000GMT fix
which took it through earlier rally highs and on to $1.7520.
-- Cable bids $1.7480, $1.7425/20. Offers $1.7520, $1.7550
-- Euro-sterling stg0.7770/60, 0.7750. Offers stg0.7800, 0.7820/25.
Trading is 80% Emotional, 20% Technical
.Let see who will win 1 hr candle or 15 divergence
