GBP/USD: more two-way business for spot sterling, resistance in upper 1.22's

GBP/USD is trading at 1.2173, down -0.54% on the day, having posted a daily high at 1.2246 and low at 1.2083.

GBP/USD has been an 80% round trip today and giving us more of the same two way business in extreme movements that has been the norm for the pound since the hysteria over the Brexit vote.

Cable is renowned for wild swings and today's action was partly unexplained with an initial drop ahead of Carney rousing some suspicion that he was going to be delivering dovish comments in his appearance at the House of Lords today.

Dollar Index approaching a triple top, a warning for equities?

The dollar has been strong on its own accord, with the DXY through 99 as the high and bolstered on better than expected US data once again. However, analysts at Scotiabank still rather think the market is consolidating the flash crash drop earlier this month and they see strong resistance in the mid/upper 1.22s from here.

GBP/USD levels

Spot is presently trading at 1.2174, and next resistance can be seen at 1.2186 (Yesterday's Low), 1.2199 (Hourly 20 EMA), 1.2200 (Daily Classic S1), 1.2225 (Daily Classic PP) and 1.2231 (Weekly Low). Support below can be found at 1.2161 (Daily Classic S2), 1.2136 (Daily Classic S3), 1.2134 (Weekly Classic S1), 1.2122 (Monthly Low) and 1.2122 (Annual Low).