Cable loses ground and dips nearly 1%

Cable was sharply down on Wednesday, losing 0.9% until early US session, as pound was weaker against all major counterparts.

Fresh bears broke below the floor of the recent range (1.2684) and cracked key near-term supports at 1.2641/34 (Fibo 38.2% of 1.2307/1.2848 / rising 20DMA).

Firm break of these levels would generate bearish signal for deeper pullback from new 2023 high (1.2848), left after larger bulls stalled under strong barriers, provided by 200WMA and monthly Ichimoku cloud base.

Sharp loss of bullish momentum weakens the structure on daily chart, increasing risk of deeper pullback, which could be triggered on firm break of 1.2641/34 pivots.

Daily Kijun-sen and 50% retracement of 1.2307/1.2848, mark next significant support at 1.2578, followed by Fibo 61.8% (1.2514) and top of thinning daily cloud at 1.2485.

Broken range floor (1.2684) reverted to resistance which should limit upticks and keep near-term bias with bears.

Res: 1.2684; 1.2720; 1.2735; 1.2759
Sup: 1.2600; 1.2578; 1.2530; 1.2514