The pound is trading at around £1.2279 against the dollar. Thriving after the recent inflation data from the UK. Next key resistance sits at £1.2285.

The pound is thriving after the release of the UK’s inflation figures. From a technical aspect, sterling is trading at around £1.2279 against the dollar with key resistance at £1.2285. A break above this point could see the forex pair head towards the £1.2350 price range. Support is established below sitting at £1.2257 then at £1.2228, which is located along the trendline. A break below the trendline would also face support at £1.2178, only a dip below this level could see the pound decline further. Potentially falling to around £1.2140. Looking at the indicators, MACD is neutral but swaying towards turning positive and RSI is positive as it reads 64.