Cable trades below 1.30 handle ahead of start of the US session on Thursday, following fresh bearish acceleration on downbeat UK retail sales data, released earlier today.
Retail sales fell well below expectations in June (m/m -0.5% vs 0.1% and upward-revised May figure at 1.4%, while core retail sales m/m came at -0.6%, falling below -0.3% f/c and 1.4% previous).
Weak data further soured negative sentiment, already hit by poor labor data on Tuesday and downbeat UK inflation data on Wednesday.
The pair is in steep descend which extends into third consecutive day, with strong bearish signal anticipated on final break and close below key supports at 1.3049/00 (28 June former low / psychological support).
Bears now eye targets at 1.2929 (Fibo 138.2% projection) and 1.2905 (05 Sep 2017 low), with stronger acceleration lower, expected to attack next pivotal support at 1.2865 (Fibo 61.8% of 1.1930/1.4376, 2016/2018 uptrend).
Caution on oversold daily studies which warn of corrective action in coming sessions.
Broken supports at 1.3000/49 are now reverted to resistances, which should ideally keep the upside protected.
Res: 1.3083; 1.3118; 1.3136; 1.3189
Sup: 1.3009; 1.3000; 1.2905; 1.2865
