During the previous trading session, the GBP/USD exchange rate tested the resistance formed by the 55-, 100– and 200-hur SMAs located in the 1.2200/1.2220 range. During today’s morning the rate tumbled to the support level—the weekly S1 at 1.2102.
If the given support level holds, it is likely that a reversal north could occur in the nearest future. However, it is unlikely that the British Pound could exceed the weekly PP at 1.2165 against the Greenback.
If the given support level does not hold, it is expected that the currency pair could continue to trade downwards. Note that the nearest support area, formed by the weekly S2 and the monthly S1, is located circa 1.2020.
