Dollar weakness continues ahead of US trading
Cable is up to a session high of 1.2706 currently with the greenback slipping further against the likes of the euro and yen as well. The dollar is taking it on the chin at the moment as traders and investors are largely pricing in a dovish Fed tomorrow.
For cable, price has now hit a six-day high and looks to extend towards the swing region around 1.2750 should resistance at the 1.2700 fail to hold the upside break here. After breaking above the 200-hour MA (blue line) earlier, price leaned on the area for support and is now breaking to the upside ahead of US trading.
Even EUR/USD is up to a session high of 1.1400 currently as price threatens a break of the 1.1400 handle. Do be reminded that there is a decent-sized expiry at the 1.1402 level for the pair today.
The near-term bias in the pair has also turned more bullish - like in GBP/USD - and buyers are knocking on the door of the 1.1400 handle now. The key resistance area will be the region of 1.1410-20 and the December high of 1.1443.
