Negative outlook below 10SMA
Cable bounces from the session low at 1.3071, following failure on initial attempt below 5SMA pivot (1.3084, now in sideways mode).
Recovery attempts need to hold below falling 10SMA (1.3141) to keep negative tone, supported by weakening momentum and bearish setup of MA’s, but partially offset by north-heading slow stochastic.
Near-term sentiment remains bearish on Brexit concerns and stronger dollar, favoring eventual break below 5SMA, for attack at psychological 1.30 level and possible extension towards key support at 1.2957 (19 July low).
Conversely, close above falling 10SMA would generate initial bullish signal and sideline immediate downside risk, but lift above 20 / 30 SMA’s (1.3170 / 1.3196 respectively) is needed to confirm scenario.
Res: 1.3129; 1.3141; 1.3170; 1.3196
Sup: 1.3071; 1.3049; 1.3000; 1.2957