• Up 0.4% at the top of a busy 1.2620-1.2690 range on FX Matching - 2025 high

• EUR led after conservative Merz won the German election EUR/GBP +0.15%

• Conflicting UK data keeps the Bank of England flexible on rate moves

• There is no significant UK data today, but MPC member Lombardelli speaks

• Charts - 5, 10 & 21-day moving averages climb, as 21-day Bolli bands expand

• Daily momentum studies climb - a positive setup on the daily chart

• Last week's 1.2564 low and then the 1.2508 21 DMA are initial support

• 1.2730 Dec 18 high, then the 1.2787 200 DMA are the first resistance
Andy

(Andrew Spencer is a Reuters market analyst. The views expressed are his own.)