If GBP/USD returns below $1.22500, it will support a move to the $1.21216 support level. Weaker UK employment figures and a sharp decline in the services sector will impact demand for the pound.
However, if the UK services sector returns to growth and the US services sector overall declines, the bulls could move higher at the 50-day EMA.
The 14-period daily RSI value of 50.79 suggests that GBP/USD will break out of the 50-day EMA and target the 200-day EMA before entering overbought territory.
