The pound treads water as Britain’s Q1 GDP was in line with expectations. The pair’s struggle to hold above the demand zone near 1.2180 reveals weakness in the latest recovery. The lack of follow-up rally drove the bulls to exit, exacerbating the bearish pressure. The RSI’s oversold condition caused a limited bounce which could be capped by offers around 1.2200. The origin of the mid-June surge at 1.2070 is buyers’ last stronghold and a bearish breakout would trigger a wave of liquidation below the daily support at 1.1900.
