• +0.05% early, closed -0.35% with the USD up 0.2%, as UST yields bounced

• Soft UK construction sector PMI undermined sentiment for sterling offshore

• BoE's Chief Economist Huw Pill says mid-2024 might be the time for rate cuts

• BOEWATCH fully prices the first BoE cut to 5% in August 2024 implied 4.8928%

• Charts; momentum studies, 5, 10 & 21-day moving averages head higher

• 21-day Bollinger bands expand - positive setup suggests further gains

• Targets 1.2435 200 DMA and 1.2460 38.2% of the 2023 fall in July/October

• Close below under pressure 1.2337 Oct high to undermine the bullish setup

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