Cable closed above 38.2% retracement of the June 2015 - Feburary 2016 downswing on Monday. After initial push higher on Tuesday the pair reversed sharply and declined nearly 250 pips, posting an outside day reversal. Weak manufacturing and construction PMIs are not helping it.

100 DMA and Q4 2015 - Q1 2016 support/resistance line are the first potential target levels while 1.45 - 1.4565 is expected to act as a resistance.

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