The pound may be undertaking a slight retracement, currently trading at around £1.2557 against the dollar. The MACD is turning negative and RSI starting to falter.

The pound may be undertaking a slight retracement. Currently trading at around £1.2557 against the dollar. We can see that on the 4 hourly timeframe, the price on the previous candlestick has tried to break through the resistance of £1.2590 but it has closed below it. The new candlestick has started in the red and the price has dipped below the support of £1.2563. The next support level sits along the 20-day moving average (£1.2529), a break below this level could see the pound slide further towards the support of £1.2483 (50-day MA). If sterling was to consolidate along the 20-day MA we would then look towards the upside. With resistance at £1.2544 followed by £1.2568. Looking at the technical indicators, MACD seems like its turning negative and RSI is starting to falter as it now reads 60, though still positive.