Cable is holding between strong supports at 1.2859/67 zone (rising 10SMA / Tue’s low / daily Tenkan-sen) and recovery highs at 1.2938/45 in early Wednesday, after being unable to extend Tuesday’s data-driven rally towards key barrier at 1.2963 (28 Apr high).
Overall bullish structure is underpinned by multiple Golden-crosses (10, 20, 30 / 200SMA’s) but reversal of slow stochastic from overbought zone, which generated negative signal, balances.
Studies on lower timeframes also give mixed signals, as hourly cloud (1.2919/1.2894) has been dented on probes below cloud base, while ascending thick 4-hr cloud (1.2847/1.2714) continues to underpin.
Bulls are expected to remain in play for final probe above 1.2963 pivot and attack at psychological 1.3000 barrier while consolidation is held by strong 1.2860 support zone.
Otherwise, increased risk for deeper pullback could be expected on sustained break lower.
Res: 1.2945, 1.2963, 1.3000, 1.3055
Sup: 1.2883, 1.2859, 1.2821, 1.2770
