The pound had a really strong day yesterday, closing above £1.25 against the dollar. Now trading at around £1.2525, it has rose and closed above the 20 & 50-day MA's.

The pound had a really strong day yesterday, closing above £1.25 against the dollar. Currently trading at around £1.2525, it has rose and closed above the 20 & 50-day moving averages. As the bias is now bullish, we can look towards the resistance levels above. First resistance level sits at £1.2546 then at £1.2584. A break above £1.2584 could see the pound rise higher back towards the highs seen in May (£1.26+). Towards the downside, support sits at £1.2469 (50-day MA) then at £1.2436 (20-day MA). A dip below the moving averages may see the forex pair slide lower back towards £1.2310-£1.2330. Looking at the technical indicators, MACD has turned positive and so is the RSI as it reads 59.