No firm breakthrough yet for buyers above 1.4000
The pair is still trading around 1.3990-09 levels for the most part at the moment as buyers are unable to secure a runaway break to the upside of the 1.4000 level.
The figure level has proven to be a stubborn resistance point in the past, as notable in March trading when buyers tried to regain upside momentum on a retreat from 1.4200.
The jump in cable yesterday was quite a significant one and while buyers hold the upper hand, there might be room to pause as gains may be more fleeting moving forward.
But one can't simply ignore the technicals either. A firm break here paves the way for more material upside in the pair, despite most of the positives already priced in for the pound amid the vaccine optimism and economic reopening narratives.
A breakout above 1.4000 may put the microscope on 1.4200 again but before that, the 100-month moving average is seen @ 1.4095 and that may be one to watch in case it limits the topside as it did in February trading this year.
