• GBP/USD declined on Thursday as sterling was weighted down after dollar was bolstered by positive U.S. data and by growing expectations that the U.S. central bank will raise interest rates later this month.
   
• U.S. data showed the number of Americans filing for unemployment benefits fell to near a 44-year-low last week, pointing to further tightening of the labor market.
   
• Initial claims for state unemployment benefits dropped 19,000 to a seasonally adjusted 223,000 for the week ended Feb. 25, the lowest level since March 1973, the Labor Department said on Thursday.
   
• Further upside for this pair is expected to be limited as strong resistance level at 1.2359 is set to limit upside and bring decline towards lower levels.
   
• To the upside, immediate resistance can be seen at 1.2298, a break above this level would expose the cable to next resistance level at 1.2359 levels.
   
• To the downside strong support can be seen at 1.2235, a break below at this level will open the door towards next level at 1.2200.
  
  Resistance Levels
  
  R1:  1.2298 (50 % Retracement level)
  
  R2: 1.2359 (61.8 % Retracement level)
  
  R3: 1.2400 (Psychological levels)
  
  Support Levels
  
  S1: 1.2235 (38.2% Retracement level)                    
  
  S2: 1.2200 (Psychological levels)
  
  S3: 1.2161 (23.6% Retracement level)