During Tuesday morning, the GBP/USD exchange rate skyrocketed to the 1.2320 level.
Theoretically, it is likely that the rate could gain support from the weekly R1 and the monthly S1 at 1.2290.
Economic Calendar
This week, there is one notable time to watch the economic calendar. At 12:30 on Thursday, a group of various US data sets will be published.
Each one of these data sets on their own can cause a move of about ten pips. Combined, the move could total to up to 30 pips.
GBP/USD short-term review
Yesterday, the GBP/USD exchange rate consolidated in the 1.2185 area. During Tuesday morning, the rate skyrocketed to 1.2320.On the one hand, it is likely that some upside potential could prevail in the market, and the currency pair could target the weekly R2 located at the 1.2401 level.
On the other hand, the pair could gain support from the weekly R1 and the monthly S1 near 1.2290 and consolidate in the nearest future.
Also, it is unlikely that bears could prevail in the market, and the rate could decline below the psychological level at 1.2240.
Hourly Chart
On the daily candle chart, it can be spotted that the 55-day simple moving average is strengthening the resistance of the monthly S1 at 1.2292.
Daily chart
Read More: Technical Analysis
Traders remain long on GBP/USD
On Tuesday, the sentiment on the Swiss Foreign Exchange was 56% long.