GBP/USD:Losses below 1.2180 may extend the dip – Scotiabank

GBP/USD drifts from the 1.2250 area. A dip under 1.2180 could drag the pair down a little more, in the view of economists at Scotiabank.

Resistance is seen at 1.2250

“A sharp rebound from last week’s low and additional gains in Cable this week are positive developments for the Pound but Cable gains are struggling to overcome still weak or bearish longer run trend oscillators which may hamper progress unless or until spot can better the Dec peak at 1.2450.”

“Intraday losses below 1.2180 may see the Pound dip a little more.” 

“Resistance is 1.2250. Firmer support is 1.2100/10.”