According to Karen Jones, analyst at Commerzbank, GBP/USD’s rally has so far been capped by the 20 day ma at 1.2172.

“Last week the market based at 1.2015 and is correcting higher near term. The market remains under pinned by the January 2017 low at 1.1988 (we have a 13 count on the daily chart and TD support is 1.1988). We would allow for a rebound to the down channel at 1.2336. Below 1.1988 lies the 1.1491 3rd October low (according to CQG). It stays negative while contained by its 3 month downtrend at 1.2336 today. Only above the downtrend this would introduce scope to the 55 day ma at 1.2443 and the June high at 1.2784. Only a rise above the June high at 1.2784 would indicate that a bottom is being formed (not favoured).”