FxWirePro: GBP/USD drops below 1.2250, scope for further downside
GBP/USD declined on Wednesday as sterling was under steady pressure as the UK government heads into negotiations on its EU exit. A stronger U.S. dollar also added losses for the Sterling as the dollar firmed on upbeat ec…
GBP/USD declined on Wednesday as sterling was under steady pressure as the UK government heads into negotiations on its EU exit.
A stronger U.S. dollar also added losses for the Sterling as the dollar firmed on upbeat economic data and increased expectation that Federal Reserve will raise interest rate next year.
Further upside for this pair is expected to be limited as strong resistance level at 1.2315 is set to limit upside and bring decline towards lower levels.
To the upside, immediate resistance can be seen at 1.2256, a break above this level would expose the cable to next resistance level at 1.2315 levels.
To the downside strong support can be seen at 1.2195, a break below at this level will open the door towards next level at 1.2117.
