On Wednesday, the GBP/USD exchange rate reached the psychological level at 1.2250. During today’s morning, the rate was trading near the given level.
Note that the currency pair is squeezed by the 200-hour SMA and the weekly R1, located at 1.2182 and 1.2272 respectively. Thus, the British Pound could consolidate against the Greenback in the short term.
Otherwise, bears could prevail in the market in the nearest future. In this case, it is unlikely that the rate could drop lower than the 1.2102/1.2131 range due to the support formed by the 55- and 100-hour SMAs, as well the weekly S1.
