Cable extends bounce from 200SMA which contained corrective dip, with weaker greenback after dovish stance from Fed, adding to positive near-term tone.
However, risk of recovery stall exists as momentum is weakening on daily chart and slow stochastic heads south.
Scenario of extended consolidation while 200SMA (reinforced by rising 10SMA) holds could be considered, as bulls lack momentum for now, but near-term structure would weaken on renewed attack at 200SMA and sustained break lower that would signal deeper pullback.
Conversely, close above 1.3153 (Fibo 38.2% of 1.4376/1.2397) would generate initial bullish signal for fresh attack at pivotal 1.3200 resistance zone.
Further bullish signal could be also expected on repeated weekly close above 100WMA (1.3177).
Res: 1.3156, 1.3177, 1.3199, 1.3217
Sup: 1.3106, 1.3053, 1.3023, 1.3000
