• Trades steady after a fresh 1.20908 trend high, with the USD now unchanged

• UK employers group cuts its growth forecast over budget costs, trade fears

• Bank of England's Bailey urges the US to step back from trade wars

• Construction PMI leads UK data- surging gilts, ECB rate decision event risk

• Charts - 5, 10 & 21-day MAs climb, as 21-day Bollinger bands expand

• Positive daily momentum studies - this week's bounce leaves a bullish setup

• The 1.2787 200 DMA and then Tuesday's 1.2679 low are initial supports

• 1.3046 range top in November 2024 is the next significant resistance

• A sustained break of the 1.2610 21-day moving average ends the topside bias
Andy

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