Cable regained traction after double-Doji (Thu/Fri) signaled indecision and jumped to nearly one-week high at 1.2454 in early European trading on Monday.
Fresh rally broke above converging 20/10DMA’s (1.2404/28), providing more evidence of higher low forming at 1.2247 (21 Apr low) and opening way for further upside.
Thickening daily cloud underpins the action, along with bullishly aligned daily indicators, as bulls probed above 50% retracement of 1.2647/1.2247 bear-leg and eye next pivotal barriers at 1.2496 (Fibo 61.8%) and 1.2521 (55DMA).
Daily close above 10DMAis needed to confirm bullish stance, while dip and close below 20DMA (also Fibo 38.2% of 1.2647/1.2247) would weaken near-term structure and signal possible recovery stall.
Res: 1.2454, 1.2496, 1.2521, 1.2553
Sup: 1.2359, 1.2298, 1.2274, 1.2247
